Ripple Reportedly Raises Its Acquisition Offer for Circle to $20 Billion

Reports of Ripple increasing its bid for Circle to an astounding $20 billion have begun to circulate, though both companies have yet to confirm the rumors.

The rumors began after rumors of an initial flatly refused bid of between $4 billion and $5 billion, which would be about double the rumored post-IPO valuation of Circle.

Pro-XRP lawyer John Deaton weighed in on the situation, noting that Circle filed its S-1 registration with the SEC on April 1, 2025, planning to go public on the New York Stock Exchange (NYSE) under the ticker "CRCL." JPMorgan Chase and Citigroup are listed as the lead underwriters, and the IPO is expected to launch this summer.

According to Deaton, Circle is reportedly targeting a valuation of between $4 billion and $5 billion, which aligns with the initial bid rumored to be made by Ripple.

"This is still significantly lower than the $9 billion valuation Circle had in mind during a failed SPAC merger back in 2022," Deaton notes.

According to Deaton, this would explain why the $5B offer was rejected, as they are expecting a post-IPO value closer to that $9B mark. He also highlighted the regulatory shift in favor of crypto, with pro-crypto policies and the possible passing of the STABLE GENIUS Act, as signs that a $10B+ deal wouldn't be unrealistic.

"Maybe they'll get $9B if the STABLE GENIUS Act passes and the administration continues its pro-crypto policies. But more importantly, wouldn't a $10B+ deal be more realistic given the administration's pro-crypto policies and the pending STABLE GENIUS Act?"

Adding another layer of speculation, Deaton questioned Ripple's relationship with Coinbase, which already owns a minority stake in Circle, implicating the possibility of a bidding war between major crypto players.

"Is there a relationship between Coinbase and/or Brian Armstrong and Ripple and/or Brad Garlinghouse? It would be interesting to see if there are any common investments or close ties between the executives or firms.

This installment of the "Financial Times" series on the rumors of Ripple's bid for Circle began with an interesting tidbit—apparently, there's a minority stake in Circle held by Coinbase, which could complicate matters if they decide to intervene.

As of now, both Ripple and Circle have not confirmed any details of ongoing acquisition talks.