Circle Unveils Arc: A New Digital Network for Stablecoins

Arc - New Financial Network

For years traditional financial systems have struggled with limited access and limitations. Over the past ten years, public blockchains have been used to address these issues through programmable money and transparent, permissionless infrastructure. However, for the vast majority of fintechs, global enterprises, financial institutions, and payment service providers, the promise of stablecoin finance often interfere with the limitations of these systems.

Circle, the company behind the widely used digital dollar USDC, has announced the launch of Arc, a new financial network designed to make digital money easier and safer to use worldwide. Unlike many cryptocurrencies, stablecoins like USDC and EURC are tied to real currencies, so their value doesn’t swing up and down.

With Arc, Circle wants to solve long-standing challenges—such as unpredictable fees, slow transactions, and the risks of relying on volatile tokens—by offering a faster, more reliable way to move money digitally.

What makes Arc stand out is its focus on real-world business needs. Transactions settle in less than a second, fees are charged directly in digital dollars or euros, and businesses can even exchange currencies instantly on the network. For companies that handle sensitive financial information, Arc offers an added layer of privacy. And because it’s built to connect easily with existing systems, developers can create new apps and services without the usual technical headaches.

Arc introduces a new kind of blockchain architecture — one that’s optimized for stablecoin finance from line one:

• USDC as native gas: Low, predictable, dollar-denominated fees — no volatile crypto required

• Built-in FX engine: Institutional-grade RFQ system for price discovery and 24/7 PvP onchain settlement

• Instant finality: Deterministic sub-second settlement finality powered by Malachite, a highly performant consensus engine

• Opt-in privacy: Selectively shielded balances and transactions so users and enterprises can stay compliant with their own obligations

• Full Circle platform integration: Native support for Circle Payments Network (CPN), USDC, EURC, USYC¹, Mint, Wallets, Contracts, CCTP, Gateway, Paymaster, and more

Circle believes Arc could become a foundation for the future of digital finance. It could make cross-border payments smoother, support international trade, and even help power emerging areas like digital lending and AI-driven commerce. A private test of the network will begin soon, with a public version expected later this year and a full rollout planned for 2026. For everyday people and businesses alike, Arc could bring stablecoins one step closer to mainstream use.