Circle to Acquire Tazapay in All-Stock Deal
Circle Internet Group has agreed to acquire cross-border payments startup Tazapay. The all-stock deal is reportedly valued at nearly $400 million.
Circle Internet Group has signed a definitive agreement to acquire Tazapay, a Peak XV Partners-backed B2B cross-border payments startup. While the deal size was not officially disclosed, a report by CoinGape suggests it is an all-stock transaction valued at nearly $400 million.
Circle, an existing backer of Tazapay, stated the acquisition will accelerate its mission to build the infrastructure for global digital finance. The deal is expected to close in 2027, pending standard closing conditions and regulatory approvals.
Rationale for the Acquisition
Circle plans to leverage Tazapay's established network to boost adoption of its USDC stablecoin. "Combining USDC with Tazapay’s world-class banking relationships, local payout rails, and institutional customer base will accelerate worldwide USDC adoption," said Circle cofounder Jeremy Allaire in a statement.
Founded in 2013 by Allaire and Sean Neville, Circle builds payments infrastructure using blockchain technology. Its primary product is USDC, a stablecoin pegged to the US dollar.
Tazapay's Business and Scale
Tazapay was founded in 2020 by Rahul Shinghal, Aayush Singhania, and Kanupriya Sharda. The Singapore-based company provides a single API for businesses to collect, hold, convert, and make cross-border payments.
The startup claims significant scale in its operations. It reports over $25 billion in annualised payment volume and works with more than 60 banking and fintech partners. Tazapay also states that about 60% of its transaction volume already involves stablecoins.
| Metric | Figure |
|---|---|
| Annualised Payment Volume | Over $25 billion |
| Banking & Fintech Partners | 60+ |
| Markets with Local Payout Rails | Over 100 |
| Transaction Volume Involving Stablecoins | ~60% |
Funding Context and Investor Exit
The acquisition follows Tazapay's $36 million Series B funding round just five months prior. That round included participation from Circle, Peak XV Partners, GMO Venture Partners, and January Capital.
This deal provides an exit for Peak XV Partners, which first invested in Tazapay in 2023. Since its separation from Sequoia Capital that same year, Peak XV has continued investing across Southeast Asia and beyond. Its portfolio includes other fintech companies like Funding Societies, SUNRATE, and Tabby.
Tazapay represents another non-Indian startup in Peak XV's investment portfolio, which also features companies like Supabase and PostHog that target the US enterprise market.
