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Circle Unveils Arc, Its EVM-Compatible L1 Blockchain

The stablecoin issuer has rolled out a new blockchain that powers transactions with USDC.
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Aug 12, 20251 min read

Circle has announced its next big move: Arc, a new EVM-compatible layer-1 network optimized for stablecoin use, using USDC as the native gas token to enable instant, enterprise-grade payments.

What’s the Scoop?

  • Meet Arc: Circle introduced Arc—a new layer-1 blockchain designed specifically for stablecoin finance, especially USDC-based transactions.
  • USDC Pays the Bills: Instead of ETH, Arc runs on USDC as its native gas currency.
  • Built for Speed & Privacy: Arc offers sub-second settlement times, optional privacy controls, and is designed for compliance-focused environments like capital markets and cross-border payments.
  • Full-Stack Ambitions: Circle positioned Arc as a core part of its broader strategy to become an “internet financial system,” offering a full-stack platform tailored to digital dollars.
  • Backed by Q2 Metrics: The Arc reveal coincided with a strong Q2 performance—Circle posted a 53% year-over-year rise in revenue and reserve income, though it still logged a net loss tied to IPO-related costs.

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