Circle to launch Arc blockchain for stablecoin transactions
The issuer of the USDC stablecoin, Circle, has announced the launch of the Arc blockchain, which is focused on financial transactions using stablecoins. The platform is EVM-compatible, and USDC will serve as the native token for gas payments. The project features a built-in stablecoin exchange mechanism, provides transaction finality in less than a second, and offers additional privacy features.
According to Circle CEO Jeremy Allaire, Arc will be an important step toward creating a full-fledged platform for internet finance. He emphasized that the network is integrated into the company’s ecosystem but will continue to support partner solutions. A public test of the network is planned for this fall.
The launch of Arc was announced alongside the financial results for the second quarter of 2025. The company’s net loss was $482 million, mainly due to one-time non-cash expenses following the IPO totaling $591 million. Of this amount, $424 million was attributable to employee stock-based compensation, and $167 million was attributable to the revaluation of convertible debt.
At the same time, Circle’s operating metrics showed growth. Revenue increased by 53% year-on-year to $658 million, while adjusted EBITDA rose by 52% to $126 million. USDC’s market capitalization rose by 90% over the year, reaching $61.3 billion at the end of the quarter and $65.2 billion by August 10.
Circle also introduced the Circle Payments Network (CPN) and announced partnerships with Binance, FIS, Fiserv, and OKX. Allaire noted that the successful IPO in June was an important milestone not only for the company but also for the entire stablecoin sector.
The report also mentions the signing of the GENIUS Act in the US, which introduces federal regulation for payment stablecoins. Circle believes that this will strengthen its position as a regulated issuer. Earlier in June, the company added support for USDC on the World Chain and XRP Ledger networks, and Shopify introduced the option to pay in stablecoins.
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