Circle Re-ups With Coinbase on USDC Distribution Deal

Circle has renewed its partnership with Coinbase for the distribution of USDC until June 2029. The deal, which was established in August 2023 after Circle became the sole issuer and regulator of USDC, will continue under existing terms.

Under the agreement, Coinbase earns a portion of the revenue from the reserve generated by USDC that is circulating outside of both companies' balance sheets. This gives Coinbase an incentive to be a distribution partner and not just an exchange listing for the asset.

Circle's Chief Financial Officer Jeremy Fox-Geen stated that the company has no intention to pay quarterly dividends, instead choosing to retain earnings for product development, infrastructure, and future investments.