Circle just made a significant move by snapping up close to 1,000 blockchain-related patents from IBM. This deal gives Circle the largest collection of blockchain patents in the U.S., strengthening its grip on the technology behind cryptocurrencies and financial tools.

The purchased portfolio includes over 680 patent families that span blockchain innovation, banking, insurance, supply-chain verification, and cloud security. Previously, IBM was already a top patent holder in blockchain, owning about 790 patents according to a 2025 report by PatSnap.

Circle plans to use these patents to enhance its stablecoin USDC, its Arc blockchain platform, and new financial services designed to work with AI agents. On top of that, Circle and IBM are exploring additional ways to collaborate commercially.

Sarah Wilson, Circle’s general counsel, highlighted the importance of intellectual property in pushing blockchain infrastructure adoption forward. Circle had received its first patent back in December 2023 for parallel blockchain data processing and joined the LOT Network to shield its products from patent litigation.

The financial terms of the transaction remain confidential, and it’s unclear if IBM will keep any licensing rights or will enforce these patents. Circle hasn’t commented further, but its shares rose 2.5% in early trading after the news.

This acquisition fits into a broader trend of firms shoring up blockchain patents, such as Securitize’s recent SEC license moves that bolster institutional tokenization efforts. Circle’s patent hoard could give it a notable edge in both the blockchain and AI-driven finance spaces.