Binance has invested $100 million in stablecoin issuer Circle through a private share purchase, marking an expansion of the companies' commercial relationship focused on promoting USDC across Binance's platform.
Circle issued Binance 1,237,011 shares of Class A common stock at $80.84 per share on September 17, according to a US Securities and Exchange Commission filing. The purchase price represented a discount to Circle's market price at the time of the transaction.
Circle shares, which trade on the New York Stock Exchange under the ticker CRCL, rose more than 1.3% in premarket trading following the announcement, according to market data.
Terms of the Agreement
The expanded five-year agreement replaces previous arrangements made in November 2024 and August 2025. Under the new terms, Circle will pay Binance a monthly incentive fee based on the amount of USDC held through Circle's Modular Smart Contract Wallet infrastructure.
Binance has committed to undertaking additional activities to promote USDC on its platform as part of the arrangement.
Share Lockup and Governance
Binance has agreed to restrictions on the Circle shares for up to two years, during which time it cannot sell, transfer, assign, pledge, or hypothecate the holdings. The lockup period may end earlier if Binance terminates the commercial agreement under certain specified conditions.
Binance retains full voting rights over the shares during the lockup period.
Either party may terminate the five-year agreement early under circumstances specified in the contract.
