Ripple Reportedly Eyes $20 Billion Acquisition of Circle to Dominate the Stablecoin Market

The competition for stablecoin supremacy is heating up fast, and Ripple is making bold moves to take the lead. In a major development, Ripple has reportedly offered a massive $20 billion to acquire Circle, the company behind the second-largest stablecoin, USDC.

Ripple’s Aggressive Pursuit of Circle

According to Bloomberg, Ripple initially floated an acquisition bid in the range of $4 to $5 billion, which Circle declined, believing the offer significantly undervalued its worth. Ripple CTO David Schwartz even jokingly upped the ante on X (formerly Twitter), stating, “$6 billion, and that’s our final offer.”

But things have escalated quickly. Insiders now claim that Ripple CEO Brad Garlinghouse has raised the bid to a staggering $20 billion, signaling serious intentions to dominate the stablecoin space. While official confirmation is still pending, the deal reportedly is inching closer to being finalized.

If the acquisition goes through, it could reshape the stablecoin landscape and position Ripple as a global fintech powerhouse.

RLUSD vs. USDC: Ripple’s Stablecoin Strategy

Ripple isn't new to the stablecoin scene. In December 2024, the company launched RLUSD, its proprietary stablecoin, aiming to gain ground in a sector long dominated by USDC and Tether’s USDT. But despite Ripple’s efforts, RLUSD has so far reached a modest market cap of around $317 million, a fraction compared to USDC’s $61.7 billion.

This potential acquisition of Circle would allow Ripple to fast-track its ambitions, leapfrogging competitors and giving it immediate control over one of the most influential stablecoins in the market.

Circle’s IPO Plans May Be Disrupted

Circle, meanwhile, had been gearing up to go public, having confidentially filed for an IPO with the U.S. Securities and Exchange Commission earlier this month. While the company has stayed silent due to regulatory quiet period rules, Ripple’s aggressive acquisition offer may throw a wrench into those plans or open up new strategic paths.

XRP Price Eyes Breakout

XRP, Ripple’s native token, has been moving in a tight range recently. After breaking above $2.20, it’s now testing resistance at $2.25. Technical signals remain positive, with a bullish MACD crossover and RSI above 50, suggesting building momentum.

If XRP can close convincingly above $2.25, analysts believe it could rally to $2.35 or even $2.50. However, if the rally stalls, key support at $2.18 will be crucial to hold.

A Potential Game-Changer for Crypto

Ripple’s reported $20 billion bid for Circle could be a game-changing moment in the evolution of digital finance. Not only would it reshape the stablecoin landscape, but it could also position Ripple as a dominant player in global payments and blockchain infrastructure.

As negotiations unfold, the entire crypto market, especially XRP holders, will be watching closely.