- Circle plans new wrapped bitcoin token, cirBTC
- Backed 1:1 by BTC and aimed at institutional users
- Will launch on Ethereum and Circle’s Arc chain
- Expands Circle’s product suite beyond stablecoins
Circle enters tokenized bitcoin space
Circle is launching cirBTC, a wrapped bitcoin token designed to bring BTC liquidity into blockchain ecosystems.
Like other wrapped assets, cirBTC will be backed 1:1 by real bitcoin, allowing users to use BTC in DeFi, trading, and lending environments.
Focus on institutional users
Circle is positioning cirBTC as an institutional-grade product, targeting market makers, OTC desks, and lending protocols that require secure and neutral infrastructure.
The token will integrate with Circle’s existing systems, including its minting platform and its upcoming Arc Layer 1 blockchain.
Competing with existing solutions
The wrapped bitcoin market is currently dominated by products like wBTC, originally launched by BitGo. However, concerns around governance and counterparty risk have created space for new entrants.
Circle aims to position cirBTC as a more transparent and compliant alternative, especially for institutional adoption.
Strategic expansion beyond stablecoins
The move signals Circle’s broader ambition to expand beyond USDC and become a key infrastructure provider across multiple digital asset categories.
As tokenization grows, products like cirBTC could play a major role in bridging bitcoin liquidity into onchain financial systems.
