Binance bought a $100 million stake in Circle and expanded its commercial partnership with the USDC issuer, the companies disclosed on 22 September. Circle issued approximately 1.24 million shares to the cryptocurrency exchange. The transaction price was $80.84 per share. The shares were issued on 17 September.
The agreement extends the companies’ collaboration for five years. The companies said Binance will promote wider USDC use across its platform, especially in emerging markets. Circle and Binance first announced a partnership to expand access to the dollar-linked stablecoin in December 2024.
USDC ACCESS ACROSS BINANCE PRODUCTS
The companies said the partnership would enable Binance’s more than 240 million users to access and use USDC for trading, saving and payments applications.
USDC is issued by Circle and designed to maintain a one-to-one value with the US dollar.
COMMERCIAL TERMS EXTEND FIVE YEARS
Under the commercial arrangement, Circle agreed to pay Binance a monthly incentive fee based on the amount of USDC held through Circle’s Modular Smart Contract Wallet infrastructure, and Binance agreed to promote USDC on its platform. The new agreement supersedes the companies’ November 2024 and August 2025 agreements.
Binance agreed not to sell or hedge the shares for up to two years, while retaining its rights as a stockholder, including voting rights.