Circle Stuck Between $5B IPO and Acquisition Talks with Ripple and Coinbase

Stablecoin issuer Circle is pressing ahead with its long-anticipated plans for an initial public offering (IPO), even as informal acquisition discussions emerge with two major players in the crypto space: Ripple and Coinbase.

According to sources cited by Fortune, Circle is targeting a valuation of at least $5 billion through its IPO. The company filed for the offering on April 1, aiming to complete it by the end of the month. However, economic headwinds prompted a more cautious tone just days later, with Circle hinting at a possible delay.

In parallel, Ripple reportedly made an acquisition offer on April 30, valuing Circle between $4 billion and $5 billion—a bid that was ultimately declined as insufficient.

Coinbase has also held informal talks about a potential purchase. While both companies are exploring the opportunity, their approach to a deal would differ. Ripple is said to be considering a mix of cash and its native token, XRP, whereas Coinbase would likely offer a combination of cash and equity.

Circle and Coinbase are no strangers to collaboration. The two co-founded the Centre Consortium in 2018 to develop standards for fiat-backed stablecoins, a partnership that laid the foundation for USDC’s rise. Coinbase continues to play a key role in distributing USDC through its platform.

Crypto IPO Momentum Builds

Circle’s IPO push is unfolding against a backdrop of improving market conditions and growing investor interest in crypto-related equities. In late 2024, Bitwise forecasted a resurgence of crypto IPOs in 2025—a prediction now taking shape as companies like Gemini and Kraken also consider going public, possibly by early 2026.

Regulatory shifts in the U.S. have played a key role in this renewed optimism. President Donald Trump’s administration, after imposing sweeping tariffs that briefly rattled markets, has since scaled back those measures—triggering a rebound across both crypto and traditional equities.

Bitcoin has surged close to its all-time high, with Ether, XRP, and Solana also posting notable gains. The S&P 500, reflecting broader investor confidence, jumped over 15% in the past month.

One notable success story from this bullish wave is Israeli trading platform eToro, whose IPO on May 14 sent its stock soaring by 29%.