Binance Takes $100m Stake in Circle Alongside Five-Year USDC Deal

Circle Internet Group and Binance have expanded their strategic partnership through a new five-year commercial agreement and a $100 million equity investment by Binance in Circle.London's trading industry is coming home!The move comes as USDC use expands beyond crypto trading. Circle received approval to establish a US national trust bank, while Marex began accepting USDC as collateral for certain derivatives transactions.Binance has also expanded access to US stocks for users outside the US, with purchases funded using USDC, USDT and selected cryptocurrencies.Binance Expands USDC Integration Across MarketsJeremy Allaire, CEO of CircleUnder the new agreement, Binance will promote and integrate USDC across its platform, with a focus on emerging markets. Circle will provide infrastructure services supporting the holding and use of the stablecoin.The companies did not disclose further financial terms of the five-year commercial agreement.Circle CEO Jeremy Allaire said the partnership would expand access to dollar-based digital assets.“Together, we see incredible opportunities to leverage USDC to expand dollar access,” Allaire said, referring to its potential use for savings, investment and payments in emerging markets.Circle 🤝 Circle and Binance are continuing to build together through a new five-year commercial agreement to expand USDC access across emerging markets.Binance has also made a $100M strategic investment in Circle. Binance Takes Circle Stake with RestrictionsRichard Teng, co-CEO of BinanceSeparately, Binance made the $100 million investment through a private placement of Circle’s Class A common stock. The purchase price reflected a 5% discount to Circle’s market price before the transaction closed.Binance has agreed not to transfer the shares for up to two years from the closing date, subject to customary exceptions.Binance co-CEO Richard Teng said the investment was part of a longer-term relationship with Circle.“Our $100 million investment and five-year commitment represent long-duration conviction,” Teng said.The latest agreement builds on the companies’ existing relationship around USDC. It combines Binance’s distribution of the stablecoin with a direct equity investment in Circle.