Ripple allegedly made a $5 billion offer to acquire Circle, the major stablecoin issuer, which the latter firm rejected.
Further reports suggest that Circle was not categorically opposed to buyout offers, but that a $5 billion offer was too low.
Did Ripple Try to Buyout Its Competition?
According to multiple social media reports, allegedly sourced from the Bloomberg terminal, Circle rejected Ripple’s massive buyout offer. The prominent stablecoin issuer recently filed for an IPO but subsequently paused its plans after Trump’s tariff chaos.
In other words, this IPO suggests that Circle may be open to acquisition offers in the future, and Ripple made its effort. After all, analysts have raised concerns about Circle’s financials. Ripple’s executives, for their part, recently asserted that they have no plans to go public.
Ripple has been entering the stablecoin market with RLUSD, an asset that directly competes with Circle’s USDC. Ripple’s RLUSD stablecoin market cap has been consistently increasing over the past 3 months, currently at $318 million.
It would be a powerful business opportunity if the firm could take over Circle’s stablecoin expertise and market share. For now, it is unclear if any further negotiations will take place, or if any other firms will make larger offers.
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