Binance Buys $100 Million Circle Stake in Five-Year USDC Deal

Binance has bought $100 million of Circle Internet Group shares and signed a new five-year deal to promote Circle’s USDC stablecoin. The agreement deepens ties between the crypto exchange and the token’s issuer.

Circle sold Binance 1,237,011 Class A shares at $80.84 each in a private placement, according to a filing with the Securities and Exchange Commission. The sale closed on September 17, five days before the companies announced the expanded partnership.

The commercial deal assigns each company a separate role. Binance will promote USDC across its platform, particularly in emerging markets, while Circle provides infrastructure for users to hold and use the token.

Circle will also pay Binance a monthly incentive based on the amount of USDC held through Circle’s Modular Smart Contract Wallet service. The companies did not disclose the percentage used to calculate the payments.

Binance agreed not to sell or hedge the shares for up to two years, subject to exceptions. It retains voting rights during that period, giving the exchange a direct stake in Circle while limiting its ability to exit quickly.

The new arrangement replaces earlier agreements signed in November 2024 and August 2025. Either side can terminate the five-year deal early if specified conditions are met, the SEC filing said.

USDC is a digital token designed to track the U.S. dollar. Wider promotion on Binance could give Circle access to more exchange users, while the monthly payment structure ties Binance’s compensation to USDC balances held through Circle’s wallet infrastructure.

Investors will have to watch whether USDC holdings through the wallet service grow and how much those balances generate in incentive fees. Circle’s filing describes the fee formula but does not disclose its rate or forecast the deal’s financial impact.