Blockchain payment firm, Ripple Labs, has reportedly offered to acquire rival stablecoin provider Circle Internet Group for an estimated $4 billion to $5 billion. However, this initial bid was rejected by Circle as being too low.
According to a Bloomberg report, Ripple remains interested in Circle but has not yet decided whether to make a revised offer. A spokesperson for Circle responded to inquiries about the potential acquisition by stating, “We do not comment on market rumors.”
They added that due to the ongoing “quiet period” with the US Securities and Exchange Commission (SEC), further details about their corporate financial plans would not be disclosed. Circle’s long-term goals, however, are unchanged.
This interest from Ripple comes on the heels of its recent acquisition of Hidden Road, a multi-asset prime brokerage firm, for $1.25 billion. This strategic move is aimed at enhancing Ripple’s capabilities in the stablecoin market, which has been gaining traction amid increasing demand for digital assets that maintain a stable value.