Binance Invests $100M in Circle, Bolsters USDC Partnership
Binance has invested $100 million in Circle Internet Group through an equity investment, further solidifying their partnership. The agreement, which spans five years, aims to increase access to USDC (USD Coin) across emerging markets. Binance will promote and integrate USDC on its platform, while Circle will provide infrastructure services for holding and using the digital currency.
Jeremy Allaire, Co-founder, Chairman and CEO of Circle, stated that Binance 'has built one of the largest and most dynamic platforms in the world for using digital currency.' Richard Teng, co-CEO of Binance, described the investment as a demonstration of 'long-duration conviction' in Circle's position as a stablecoin issuer.
The investment was made through a private placement of Class A common stock at a purchase price reflecting a 5% discount to the market price of CRCL prior to closing. Binance agreed not to transfer the shares for up to two years from the closing date, subject to customary exceptions.