USDC issuer Circle introduced its layer-1 blockchain, Arc, and said its Q2 revenue and reserve income increased 53% year-over-year.
Circle, a publicly traded US company and the issuer of USDC stablecoin, said it will launch a layer-1 (L1) blockchain compatible with the Ethereum Virtual Machine (EVM) later this year.
The company released its second-quarter results on Tuesday and announced the introduction of Arc, a new network designed to offer an “enterprise-grade foundation” for stablecoin payments, foreign exchange and capital markets applications.
Expected to launch in public testnet, Circle’s Arc will feature USDC (USDC) as its native gas token, enabling users to pay transaction fees with the stablecoin.
Alongside the launch of Arc, Circle disclosed a 53% year-over-year increase in total revenue and reserve income in Q2, reaching $658 million.
“Full-stack platform for the internet financial system”
According to Circle, its upcoming Arc blockchain is “purpose-built for stablecoin finance,” marking a major milestone in the company’s mission to deliver a “full-stack platform for the internet financial system.”
In addition to featuring USDC as native gas, Arc will provide an integrated stablecoin foreign exchange engine, sub-second settlement finality and opt-in privacy controls, the announcement said, adding:
“Arc will be fully integrated across Circle’s platform and services, which will also remain fully available and interoperable with the dozens of other partner blockchains that Circle supports.”
At the time of writing, USDC had a $65.6 billion market capitalization, with the stablecoin running on a total of 24 networks.
Ethereum is now the largest network for USDC, with total USDC supply on the network amounting to $42.6 billion, according to Circle data.
This is a developing story, and further information will be added as it becomes available.
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