Circle Internet Group (NYSE: CRCL) shares gave up early gains Tuesday despite Binance investing $100 million in the USDC issuer and expanding a commercial partnership between the companies.
According to data from Yahoo Finance (on September 22 at 3:50 p.m. UTC), CRCL was trading at $94.15, down 0.36%, after opening at $98.09. The stock peaked at $97.56 (up 3.4% from its previous close of $94.33) before reversing lower.
The move followed Circle’s disclosure that Binance had purchased 1,237,011 Class A shares for $80.84 each, providing Circle with $100 million in proceeds. The transaction was completed Sept. 17 and disclosed in a Form 8-K filed with the Securities and Exchange Commission.
Binance takes Circle stake
The investment gives Binance a direct equity position in Circle as the companies expand their existing relationship around USDC, Circle’s dollar-pegged stablecoin.
The shares were issued through a private placement at $80.84 each, a discount to Circle’s market price before the transaction. Binance also agreed to restrictions on transferring or hedging the shares for up to two years, subject to specified exceptions.
Binance retains voting rights attached to the shares during the restriction period.
Five-year USDC agreement
Alongside the equity investment, Circle and Binance signed a new commercial agreement that replaces arrangements reached in November 2024 and August 2025.
Under the new agreement, Circle will pay Binance a monthly incentive tied to the amount of USDC held through Circle’s Modular Smart Contract Wallet infrastructure. Binance will also undertake activities aimed at promoting USDC on its platform.
The agreement has a five-year term, although either company can terminate it early under specified circumstances.
The arrangement links Circle’s commercial costs to USDC balances maintained through the relevant infrastructure, rather than making Binance’s investment solely an equity transaction.
Stock remains below 52-week high
Despite the recent gains, CRCL remains well below its 52-week high of $159.47. The shares have traded between $49.90 and $159.47 over the past year, according to data from Yahoo Finance (on September 22 at 3:50 p.m. UTC).
At $94.15, Circle’s market capitalization stood at $25.76 billion across an estimated 273.5 million shares outstanding, according to the market data provided. Trading volume was about 3.5 million shares at the time, compared with an average daily volume of roughly 14.6 million shares.
The stock’s reversal Tuesday shows that the Binance transaction did not translate into sustained buying during the session, even after shares initially moved higher on news of the investment.
USDC remains central to the deal
The expanded relationship comes as Circle and Binance seek to increase the use of USDC across Binance’s trading and financial products.
Binance’s investment gives the exchange an economic interest in Circle while the commercial agreement establishes a longer-term framework for USDC-related activity.
Circle’s revenue model is closely tied to the reserves backing USDC, making the growth of the stablecoin’s circulation and related balances an important factor for the company.
The latest transaction therefore combines an equity investment with a commercial arrangement, while the market’s initial response has been mixed as investors weigh the deal against Circle’s recent share-price volatility.
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