Binance Buys $100M in Circle Shares and Strikes New USDC Promotion Deal

By Hassan Shittu

Circle and Binance are combining a new five-year commercial agreement with a $100 million equity investment in CRCL shares that will make Binance a shareholder in USDC issuer Circle.

The companies signed the agreements on Sept. 17, according to Circle’s Sept. 22 filing with the U.S. Securities and Exchange Commission. 

Under the deal, Binance will promote USDC across its platform, with a particular focus on emerging markets, while Circle will provide infrastructure supporting the stablecoin’s use. 

 

Why Binance is betting $100 million on CRCL and USDC 

Binance is gaining direct exposure to Circle while strengthening its financial incentive to expand USDC across its ecosystem.

The crypto exchange agreed to purchase 1,237,011 newly issued Class A Circle shares at $80.84 each, generating approximately $100 million for Circle.

However, the deal goes beyond an equity investment by tying Binance’s financial incentives directly to USDC adoption.

Under the expanded commercial agreement, Circle will pay Binance a monthly fee calculated as a percentage of the USDC that Binance holds through Circle’s Modular Smart Contract Wallet infrastructure.

The exact percentage was not disclosed, so the filing does not provide a precise estimate of how much Binance could earn over the five-year term.

That structure gives Binance an additional financial incentive to increase USDC balances and usage across its ecosystem. The more USDC Binance holds through the covered infrastructure, the larger the potential monthly payment from Circle.

Circle 🤝 @binance

Circle and Binance are continuing to build together through a new five-year commercial agreement to expand USDC access across emerging markets.

Binance has also made a $100M strategic investment in Circle.https://t.co/I0CIUBUoCZ pic.twitter.com/zQ9f9EiYTk

— Circle (@circle) September 22, 2026

The new agreement also broadens the companies’ relationship beyond distribution and treasury activities. It replaces arrangements signed in November 2024 and August 2025 and is focused on expanding USDC adoption across Binance’s global ecosystem, including trading, savings, and payments.

For Circle, the agreement provides a way to deepen USDC distribution through one of the world’s largest crypto exchanges while securing a strategic investor.

For Binance, the investment combines equity exposure to Circle with a commercial arrangement that could generate additional income as USDC adoption grows.

The timing matters because stablecoins have become an increasingly important part of crypto market infrastructure. 

USDC is used across centralized exchanges, decentralized finance applications, and blockchain payment systems, giving Circle an incentive to expand distribution beyond its existing markets. 

Binance, meanwhile, operates one of the largest cryptocurrency platforms globally and says it serves more than 300 million users across more than 100 countries.

Binance investment comes with rules as Circle expands beyond USDC

Binance’s investment in Circle comes with significant restrictions, as the exchange cannot sell or transfer the shares until the earlier of two years or the termination of the commercial arrangements under certain circumstances.

It is also prohibited from entering into hedging, swap, or derivative transactions involving the subscribed CRCL shares, although it retains voting and other shareholder rights.

The shares were issued through a private placement at a 5% discount to CRCL’s market price before the deal closed.

Because the shares were not registered under the Securities Act of 1933, any future sale in the U.S. would need to comply with registration requirements or qualify for an applicable exemption.

The investment follows an earlier commercial relationship between the companies, with the Circle’s IPO filing showing that Binance received a one-time $60.25 million payment, along with monthly incentives linked to USDC balances held on the exchange. 

Binance was also expected to maintain a targeted USDC balance of about 3 billion tokens, subject to certain exceptions.

Meanwhile, Circle is expanding beyond its stablecoin business as they recently launched the public mainnet of Arc, its Layer 1 blockchain, which uses USDC to pay transaction fees. 

The company said that more than 100 applications were available at launch, with founding validators including BlackRock, DTCC, ICE, Mastercard, and Visa.

Circle is also expanding its payments infrastructure through the Circle Payments Network, aimed at faster cross-border money movement and settlement for financial institutions, businesses, and blockchain applications.

Source:: Binance Buys $100M in Circle Shares and Strikes New USDC Promotion Deal