TL;DR
- Circle disclosed in its IPO filing that in 2023, it purchased the remaining 50% equity stake in Centre Consortium from Coinbase for $210 million worth of shares.
- This acquisition positioned Circle as the sole issuer of the USDC stablecoin, effectively dissolving the joint venture entity Centre.
- The deal strengthens Circle’s standing in the crypto ecosystem at a time when stablecoins are emerging as a key bridge between traditional finance and the Web3 revolution.
Circle, the company behind the USDC stablecoin, surprised the market with a key revelation in its Initial Public Offering (IPO) prospectus: in 2023, it acquired the remaining 50% ownership of Centre Consortium from Coinbase for a total of $210 million in shares. This transaction, which had not been previously disclosed in financial terms, represents a strategic move to fully consolidate Circle’s control over the issuance and governance of USDC.
Centre Consortium was originally formed as a joint venture between Circle and Coinbase, with the goal of overseeing the issuance and framework of USDC. However, with this purchase, Circle became the exclusive issuer of the stablecoin, allowing for faster decision-making and a simplified operational structure. In December 2023, Centre was officially dissolved, and its assets were absorbed by a wholly owned Circle subsidiary. The transaction was noted in the “significant transactions” section of Circle’s IPO documents, which also revealed the deal involved approximately 8.4 million shares of common stock measured at fair market value.
A New Chapter for USDC and the Crypto Ecosystem
This move not only marks the end of Centre as an independent entity, but also reinforces the pro-crypto vision that Circle has championed from the start: to provide a stable, reliable digital currency that serves as a pillar of the financial system of the future. In an environment where regulators are increasingly calling for transparency and accountability, Circle is betting on a clearer and more centralized structure under its own leadership, while still upholding the foundational ideals of decentralization in infrastructure.
Additionally, Coinbase now holds equity in Circle, signaling that both companies continue to share strategic alignment, albeit with distinct roles. Circle has assumed full control of USDC, while Coinbase remains a critical partner, facilitating widespread adoption through its exchange and user base.
Implications for the Future of Stablecoins
This $210 million deal signals that stablecoins are no longer experimental, but instead are becoming a vital part of the new financial architecture. Backed by institutional players, regulatory clarity, and strategic partnerships like this one, USDC positions itself as one of the most solid and trusted stablecoins on the market. A clear sign that, despite ongoing challenges, the crypto ecosystem continues to mature and advance steadily toward global integration.
