“That Was A Joke” Ripple CTO Shuts Down Circle Acquisition Rumors

Ripple key executives have denied rumors of the potential acquisition of the USDC issuer Circle. CEO Brad Garlinghouse and CTO David Schwartz have set the record straight, putting an end to speculation. Schwartz clarified that his earlier remark on the matter was a joke, which was taken out of context. Was Ripple really planning to buy Circle?

Did Ripple Have Plans to Buy Circle? CEO & CTO Clarify

While community had its doubt, both Ripple CEO and CTO and have come forward to clarify the Circle acquisition rumors. At the Bitcoin Conference in Las Vegas, CEO Brad Garlinghouse asserted that Ripple “never pursued an acquisition of Circle,” stated Georgetown Law professor Chris Brummer. Garlinghouse added that the acquisition of Circle was not under consideration, as it falls outside company’s current priorities.

Adding more clarity to the matter, David Schwartz shared his comments. In response to a query that directly addressed him, Schwartz tweeted that his previous interaction on the USDC stablecoin issuer purchase deal was “just a joke.” Although many X users recall Schwartz’s previous comment about a $6 billion deal, Schwartz clarifies that he deleted the post because he feared it might be taken seriously. Clarifying the matter, he wrote on X,

That was a joke. Someone posted that Ripple had offered $5 billion and Circle rejected it and I replied something like “Okay, six, but that’s our final offer”. I meant it as a joke but deleted it because I was afraid some might take it seriously.

Is The Circle Acquisition Still On Cards?

In early May, rumors emerged about Ripple potentially offering $5 billion to acquire Circle. It was also rumored that Circle declined the offer, citing that the $5 billion valuation was inadequate. While Coinbase has also reportedly entered into the game, Circle dismissed speculations, asserting, “Circle is not for sale.”

“We definitely never offered $20 billion to Circle,” Garlinghouse stressed at the Bitcoin event. Reflecting on this particular statement, a meeting attendee posited that Garlinghouse’s denial of the $20 billion figure didn’t necessarily rule out discussions about a deal of a different value. However, Professor Brummer noted,

Perhaps Ripple floated an offer at another price point. Perhaps! Whatever the case, his main point was clear: he wasn’t considering any acquisition.

Earlier, today as reported by Coingape, billionaire investor Chamath Palihapitiya stated that Circle is a steal deal for both Coinbase and Ripple even at as high as $12-$13 billion valuation. While both CTO and CEO might have declined any interest, growing competition and industry expectations are rising in stablecoins market.