Ripple gets aggressive with $20 billion bid to buy Circle

By: cryptosheadlines|2025/05/02 14:15:01
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Airdrop Is Live CaryptosHeadlines Media Has Launched Its Native Token CHT. Airdrop Is Live For Everyone, Claim Instant 5000 CHT Tokens Worth Of $50 USDT. Join the Airdrop at the official website, CryptosHeadlinesToken.com Ripple is reported to have increased its offer to purchase Circle, the issuer of USDC, from $5 billion to over $20 billion. The higher valuation is now under active negotiation, according to Bloomberg sources. If confirmed, the deal would shift the balance of power in the global stablecoin market.Ripple’s move to acquire Circle would give it control of USDC, the world’s second-largest stablecoin. The timing of the proposed deal comes as Circle is cautious after filing an IPO application in the U.S.Crypto lawyer Bill Morgan hinted that Ripple’s RLUSD token launch may be a precursor to this acquisition attempt. RLUSD is a compliant, enterprise stablecoin meant to be embedded into Ripple’s global payment system.Crypto influencer Crypto Eri described the move as an aggressive market consolidation. “Ripple buying Circle is not for the financials,” she said, citing a larger ambition to buy out Circle’s infrastructure and limit smaller rivals.Ripple buying Circle is not for the financials. It Curbs Competition: Controls USDC, dominates the stablecoin market, sidelines smaller rivals, and takes over Circle’s Payment Network that will be FUELED by an IPO. How much is that worthA lot. Second offer incoming IMO. pic.twitter.com/xTWDWhm8qt— Crypto Eri ~ Carpe Diem (@sentosumosaba) May 1, 2025Dave Schwartz, Ripple CTO, added to the speculation by lightheartedly responding to the amount on the bid, noting, “$6 billion, but that’s our final offer.” The comment, while funny, came at a critical moment when Ripple was eagerly discussing its growing appetite for acquisitions.Ripple accusation spreeThis comes as Ripple acquired Hidden Road for $1.25bn last month as part of a broader strategy. Hidden Road is a non-bank prime brokerage that processes $3 trillion per year for over 300 institutional clients. Ripple noted that the deal would help Hidden Road scale infrastructure, using its balance sheet to expand global clearing services.Upon finalization, the acquisition would make Ripple the only crypto-native company with a global multi-asset prime broker. This strengthens Ripple’s role in mainstream finance and sets the stage for institutional trading of digital assets like XRP. Pro crypto attorney John Deaton stated that Hidden Road’s scale and influence may make Ripple a dominant force in crypto prime brokerage.RLUSD integration signals broader utility shiftThe launch of RLUSD is in line with Ripple’s bid for Circle and further underlines its stablecoin push. RLUSD offers dual functionality in Ripple’s payment and investment ecosystem and serves both institutional payment needs and DeFi access.RLUSD is integrated directly into Ripple Payments, providing faster and less expensive cross-border settlements. This addition is designed to distinguish it from other stablecoins, with particular regard to compliance and real-world adoption. Currently, its market capitalization has gone over the $300 million mark.Ripple has expanded RLUSD’s reach to the Middle East, a region now known for the fast adoption of blockchain technologies. According to the company, 40% of regional enterprises currently use Ripple for digital asset custody. RLUSD’s compliance-first design aligns with regulations on the local level, allowing Ripple to strengthen its relationship with institutional partners through their trust.Ripple CEO Brad Garlinghouse has hinted at his company’s IPO and said its 2024 valuation of $11 billion is outdated. A successful IPO or significant legal clarity would be needed before any acquisition of Circle. Any potential Circle acquisition is still in the shadow of Ripple’s legal mess with the U.S. Securities and Exchange Commission. As the SEC lawsuit nears an end, clarity around Ripple’s regulatory status is crucial in boosting further growth.After the deal gets finalized, Ripple will have the most control over two prominent stablecoins in RLUSD and USDC, as well as institutional clearing and global payment rails. This would position Ripple in the middle of the emerging digital finance ecosystem.Cryptopolitan Academy: Want to grow your money in 2025? Learn how to do it with DeFi in our upcoming webclass. Save Your SpotSource link

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