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Circle is launching Arc, a stablecoin-focused Layer 1 blockchain.
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Arc will use USDC as its native gas token.
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Aims to support stablecoin payments, FX, and capital markets.
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Q2 revenue rose 53% to $658M despite a net loss.
Arc’s Features and Goals
Circle announced Arc, its upcoming Layer 1 blockchain designed for stablecoin-focused financial applications. Arc will be EVM-compatible and use USDC for gas fees. The platform promises sub-second settlements, a stablecoin FX engine, and privacy options.
Arc is set to launch on public testnet this fall and will integrate closely with Circle’s existing systems.
Strong Growth Despite Losses
Circle reported $658 million in revenue for Q2, up 53% from last year, with USDC circulation growing 90% year-over-year. However, the company recorded a $482 million net loss due to IPO-related costs.
Industry Impact
Circle sees Arc as a step toward making stablecoins a core part of global finance. CEO Jeremy Allaire emphasized the role of recent U.S. regulation in supporting the company’s vision.
