Ripple's $4B-$5B Bid for Circle Rejected Amid IPO Plans

Ripple has made a significant move in the cryptocurrency sector by proposing a takeover of Circle, offering between $4 billion and $5 billion to acquire the stablecoin issuer. This news, reported on April 30, has sparked interest and speculation within the industry.

Circle, however, has rejected the bid, deeming it too low. The sources, who wished to remain anonymous due to the sensitive nature of the negotiations, indicated that Ripple has not ruled out making another offer but is currently undecided.

Despite the rejection, Circle's leadership remains focused on its initial public offering (IPO) strategy, which was initiated with the filing of registration documents on April 1. The company has not publicly disclosed its valuation or market timing for the IPO.

A spokesperson for Circle declined to confirm or deny the report, citing regulatory restrictions during the quiet period that prevent the firm from elaborating on its corporate financial plans. Ripple also declined to provide comment.

The attempted acquisition would have united two prominent players in the crypto sector. Circle issues USDC, the second-largest stablecoin with a market capitalization of $61.7 billion, while Ripple launched its own RLUSD stablecoin in December 2024, which currently holds a market value of approximately $250.2 million.

This offer from Ripple comes at a time when deal activity in the digital asset sector is intensifying. Crypto-native firms such as Circle, BitGo, Gemini, and Bullish Global are reportedly preparing for public listings, driven by a recovery in token prices and investor demand for digital financial infrastructure.

Earlier this month, Ripple agreed to acquire brokerage infrastructure firm Hidden Road for $1.25 billion, following a win in its legal battle with the SEC. This acquisition underscores Ripple's strategic moves to strengthen its position in the market.

Circle's growing prominence as the key issuer of USDC, especially as stablecoins gain regulatory clarity and merchant adoption, makes it a central target in broader consolidation trends. Ripple's RLUSD, though smaller in scale, reflects the company's ambitions to compete directly in the stablecoin payments market, where integration with global institutions and on-chain infrastructure is becoming increasingly critical.

The outcome of Ripple's interest in Circle remains uncertain. However, the rejected bid adds to a wave of corporate positioning as crypto firms in the US seek to secure strategic footholds ahead of broader mainstream adoption.