Binance invests $100M in Circle to extend USDC partnership

Binance just put $100 million behind the company that issues USDC, acquiring 1,237,011 shares of Circle’s Class A common stock through a private placement. The deal closed on September 17, with Binance paying $80.84 per share, roughly a 5% discount to Circle’s market price at the time.

The equity stake is only half the story. Alongside the investment, Binance and Circle signed a new five-year commercial agreement designed to accelerate USDC adoption across Binance’s platform, with a particular focus on emerging markets where demand for dollar-denominated digital assets is surging.

Inside the deal structure

The shares Binance acquired come with a two-year lockup, meaning the exchange can’t sell them on the open market anytime soon.

Under the new five-year agreement, Circle will pay Binance monthly incentive fees based on the USDC balances held through its wallet infrastructure. In return, Binance commits to promotional activities and deeper integration of USDC across its ecosystem.

The deal replaces two earlier USDC-related contracts between the companies, one from November 2024 and another from August 2025.

What the executives are saying

Circle CEO Jeremy Allaire pointed to Binance’s massive global footprint as a lever for expanding access to digital dollar products worldwide.

Binance co-CEO Richard Teng described the investment as reflecting “long-duration conviction” in Circle’s role as a principal USDC provider.

Circle’s stock responded with a roughly 2% bump in pre-market trading following the announcement, pushing shares to around $96 and the company’s market capitalization close to $24 billion. Circle trades on the NYSE under the ticker CRCL.

The stablecoin landscape this reshapes

USDC’s market cap sits at nearly $75 billion, making it the second-largest stablecoin behind Tether’s USDT.

The two-year lockup on Binance’s shares means Binance’s 1,237,011 shares won’t create selling pressure through at least September 2028.

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