Circle's new layer -1 blockchain Arc will integrate with the Fireblocks platform. Fireblocks is a New York-based digital asset custody and tokenization platform serving over 2,400 banks, asset management companies, and fintech firms. Arc is not yet live, but Circle plans to launch a public testnet by the end of this year.
Fireblocks stated that it is ready to provide custody and compliance support for customers to trade once Arc goes live. Its platform supports over 120 blockchains and offers settlement services to institutions in the global market.
Due to premature integration efforts, some of Arc's practices have faced criticism on X. Solana was launched in 2020 but was not added by Fireblocks until the end of 2021. Arc, on the other hand, will integrate with Fireblocks upon launch.
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In line with the progress of U.S. stablecoin regulations
Despite U.S. regulators providing more clarity on stablecoins, Circle is still expanding its business scope.
On June 5, Circle raised $1.05 billion through an initial public offering (IPO). The stock opened at $69, peaked at $103.75, and closed at $83.23, an increase of 168% from the IPO price. The stock once reached $298.99 and is currently trading at around $145.
The company's first earnings report since going public shows that its second-quarter revenue was $658 million, a 53% year-over-year increase. During the same period, the circulation of USDC grew by 90%, reaching $61.3 billion by June 30, and surpassing $65 billion in early August.
On the same day, Circle announced the expansion of its payment infrastructure and launched the Circle Payments Network, declaring Arc as a dedicated Layer 1 chain for 'stablecoin finance'.
Although Circle took a step ahead in the IPO, the launch of Arc coincides with the emergence of more new blockchains.
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Drivers of growth in the stablecoin market
According to DefiLlama data, the total market value of stablecoins is currently approximately $277.16 billion, up from $253.87 billion on July 1. While Circle's USDC accounts for about a quarter of the market share, Tether still leads globally with about 60% market share.
Tether reported its profit for the second quarter of 2025 at $4.9 billion, a 277% year-over-year increase. Most of the profit came from Treasury yields, with the company holding $127 billion in U.S. short-term Treasury bonds, making it one of the largest non-sovereign holders of U.S. Treasuries.
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