Circle Buys Tazapay for $400M to Fix Stablecoin Payouts

Circle is acquiring Tazapay for $400 million in stock to address the final hurdle that stablecoins face when it comes to real-world payouts. The proposed deal would bring a cross-border payments operator under Circle's umbrella, which issues the widely used USDC stablecoin.

Tazapay connects to over 60 banking and fintech partners and supports payout rails across more than 100 markets. This infrastructure provides local licensing, banking access, currency conversion, and fiat delivery that an on-chain transfer cannot complete by itself.

Circle's co-founder and CEO Jeremy Allaire said that combining USDC with Tazapay's banking relationships, local payout rails, and institutional customers would accelerate worldwide adoption of the stablecoin.