Binance invests $100 million in Circle and expands USDC deal

Binance invests $100 million in Circle, the issuer of the stablecoin USDC. The exchange bought 1,237,011 Class A common shares in Circle at a price of $80.84 each, at a discount to the market price. At the same time, both companies are entering into a new five-year agreement to further distribute USDC. This is according to a Form 8-K that Circle filed with the US securities regulator SEC on 17 September 2026.

In brief:

• Binance is buying $100 million in Circle shares at a reduced price of $80.84 per share.
• The two companies are entering into a new five-year agreement for the distribution of USDC through Binance.
• The shares are subject to a two-year sale restriction.

New five-year agreement replaces earlier arrangements

The new agreement, dated 17 September 2026, replaces agreements that Circle and Binance previously entered into in November 2024 and August 2025. The deal centres on the distribution of USDC through Circle’s so-called Modular Smart Contract Wallet infrastructure service.

Under the new arrangements, Circle pays Binance a monthly fee. That fee is based on a percentage of the amount of USDC held through that infrastructure service. Binance in turn commits to undertaking additional activities to promote USDC on its platform.

Shares cannot be sold for two years

The 1,237,011 shares that Binance receives were issued through a private placement and are not registered under the US Securities Act. In principle, Binance may not sell, transfer or pledge the shares for two years. That restriction lapses earlier if Binance itself terminates the commercial agreement under certain circumstances.

During that period, Binance does retain all shareholder rights, including voting rights. Exceptions apply to the sale restriction, such as transfers within the Binance group and transactions approved by Circle’s board of directors.

Growing collaboration between the two companies

The investment marks a further deepening of the relationship between Binance and Circle. Circle is listed on the New York Stock Exchange under the ticker CRCL and is headquartered in New York. The transaction has now been completed.

USDC is the world’s second-largest stablecoin after USDT. The collaboration with Binance, one of the world’s largest crypto exchanges, could further increase the distribution of USDC. Earlier, the US Department of Justice investigated Binance over possible violations of Iran sanctions, but that matter is unrelated to this deal.