Binance Invests $100M in Circle, Expands USDC Partnership

Binance has invested $100 million in Circle and renewed its commercial agreement for five years, expanding their partnership on USDC distribution.

The investment was made through a private placement where Binance purchased approximately 1.24 million Circle shares at $80.84 each, which is a roughly 5% discount to the market price before closing. This deal also includes a share lock-up of up to two years for Binance.

Circle and Binance have been working together since their strategic partnership in December 2024, when USDC reached more than 240 million Binance users. The new agreement builds upon this relationship, with Circle paying Binance a monthly incentive fee tied to USDC volume held through Circle's Modular Smart Contract Wallet infrastructure.

Binance co-CEO Richard Teng said Circle has earned its place as one of the most credible issuers in the world, spanning USDC, Arc, and the infrastructure reshaping how value moves across borders. Jeremy Allaire, Circle CEO, added that Binance has built the internet's largest financial super app and become home to the most widely used dollar stablecoin wallets.