The company is aiming for a valuation of at least $5 billion, which aligns with its target for the upcoming IPO.

Circle Internet Financial is currently in discussions for a potential sale to either Coinbase or Ripple, despite recently filing for an initial public offering (IPO).

Circle filed its IPO prospectus on April 1, 2025, but has hinted at possible delays due to economic uncertainties.

Both Coinbase and Ripple are interested in Circle due to the potential growth in the stablecoin market, where USDC competes closely with Tether (USDT).

An acquisition by either company would indicate ongoing consolidation in the cryptocurrency industry, raising potential antitrust concerns, particularly if Coinbase proceeds.

Circle's decision between pursuing an IPO or a sale will depend on market conditions and the comparative advantages of each option.

Coinbase's strong regulatory alignment makes it a more stable option for Circle's stakeholders compared to Ripple, which faces legal uncertainties.

The company's revenue has seen significant growth, jumping from $15.4 million in 2020 to $1.68 billion in 2024, ending with a net income of $156 million.

The integration of cryptocurrency into the global financial system underscores the strategic importance of stablecoin issuers like Circle for expanding market share.

Coinbase is viewed as the most likely acquirer for Circle, given their historical partnership in the Centre Consortium that issued USDC until 2018.

Despite the sale discussions, Circle has publicly denied rumors of being for sale, emphasizing its focus on going public.

In 2024, Circle incurred approximately $900 million in distribution costs to Coinbase, highlighting the financial ties between the two companies.