Circle, a publicly traded US company and the issuer of USDC stablecoin, has announced the launch of its layer-1 (L1) blockchain compatible with the Ethereum Virtual Machine (EVM), set for later in 2025.
The company released its second-quarter results in August 2025. It announced the launch of Arc, a network built to provide an enterprise-grade foundation for stablecoin payments, foreign exchange, and capital market applications.
Expected to launch on the public testnet, Circle’s Arc will use USDC as its native gas token, allowing users to pay transaction fees with the stablecoin. The network will be fully integrated into Circle’s existing platform and services, while remaining interoperable with many other blockchains that already support USDC.
According to the Circle, its new Arc blockchain is purpose-built for stablecoin finance, marking an important step in the company’s mission to deliver a full-stack platform for the internet financial system. The goal is to establish an optimal, low-latency environment for payments, cross-border settlements, and capital market operations, areas where stablecoins have already shown their utility but still face scalability and congestion issues on larger chains.
In addition to featuring USDC as its native gas token, Arc will include an integrated stablecoin foreign exchange engine, sub-second settlement finality, and opt-in privacy controls.
Circle reports Q2 financial results
The Arc announcement came alongside Circle’s Q2 2025 financial results. After raising USD 1.2 billion in an IPO in June 2025, Circle started public trading on the New York Stock Exchange in June 2025, with an opening price of USD 69 per share.
Shortly after, Circle stock rose nearly 34% following the Senate's passing of the GENIUS Act 68-30, which established a federal framework for stablecoin.
Additionally, the company reported second-quarter revenue of USD 658 million, with USDC circulation exceeding USD 61 billion, representing a 90% year-over-year increase. The net loss for the quarter was USD 482 million, primarily due to USD 591 million in IPO-related non-cash charges.
