Binance has invested US$100 million in Circle as the two companies renew their USDC partnership under a new five-year agreement.
Under the agreement, Binance will expand the promotion of USDC across its global platform, with a focus on emerging markets.
Circle will provide the infrastructure needed to support the holding and use of the stablecoin on Binance.
As part of the deal, Binance purchased US$100 million worth of Circle Class A common stock through a private placement.
The shares were acquired at a price reflecting a 5% discount to Circle’s market price before the transaction closed.
“Circle has earned its place as one of the most credible issuers in the world spanning USDC, Arc and the infrastructure reshaping how value moves across borders.
Our $100 million investment and five-year commitment represent long-duration conviction. We are helping to build a more inclusive, transparent, and compliant digital economy.”
said Richard Teng, co-CEO of Binance.
“Binance has built one of the largest and most dynamic platforms in the world for using digital currency, creating the internet’s largest financial super app, and becoming the most widely used wallets in the world for dollar stablecoins.
Together, we see incredible opportunities to leverage USDC to expand dollar access, support savings and investment with innovative digital asset products, and reach people and businesses throughout global emerging markets.”
said Jeremy Allaire, Co-founder, Chairman and CEO of Circle.
USDC is a US dollar-backed stablecoin issued by Circle and used for payments, trading and other digital asset transactions.
Featured image: Edited by Fintech News Singapore, based on image by Binance
