Arc: Circle launches its blockchain dedicated to stablecoins and payments

Circle has launched the Arc public mainnet, its new Layer 1 blockchain designed for payments, stablecoins, and on-chain finance. With fees paid in USDC, institutional validators, and the immediate arrival of DeFi, the network starts with high ambitions, alongside risks involving fake tokens and memecoins. The article Arc: Circle launches its blockchain dedicated to stablecoins and payments first appeared on Cryptoast.

The issuer of USDC has reached a major strategic milestone with the official mainnet deployment of Arc, a layer 1 blockchain infrastructure positioned as the foundation for a standardized digital economy. By opting for an EVM-compatible architecture, Circle is facilitating seamless integration for tools and protocols from the Ethereum ecosystem. This new platform distinguishes itself with a pragmatic approach to on-chain payments, where transaction fees are not settled via a volatile native token, but directly in USDC, providing the price predictability essential for financial players.

The launch relies on a robust Proof of Authority consensus mechanism, backed by a consortium of leading financial institutions. Founding validators include global giants such as BlackRock, Visa, Mastercard, as well as institutions like DTCC and Standard Chartered. This institutional credibility is reinforced by the immediate integration of major DeFi solutions like Uniswap, Aave, and Morpho, alongside support from leading digital wallets. The network enters the market with a proven technical foundation, having processed over 700 million transactions during its testnet phase.

Despite this institutional ambition, Circle is urging caution regarding the rapid emergence of fraudulent assets. While 10 billion "ARC" tokens have been created to prepare for a future transition to a Proof of Stake mechanism by 2027, the company emphasizes that no public sale of this token is currently underway. Any units currently circulating on various decentralized exchanges are counterfeits. Project leadership is warning users against phishing risks, deceptive airdrops, and the proliferation of speculative memecoins, fueled by the arrival of applications like Pump.fun on the network.

Beyond mere technological innovation, Arc is laying the groundwork for a bridge between traditional finance and tokenized assets. BlackRock’s commitment to deploying its BUIDL money market fund on the chain illustrates Circle’s ambition to transform this blockchain into a global economic operating system. While sub-second transaction finality offers a clear competitive advantage, Arc's long-term success will depend on its ability to maintain impeccable security while managing the intense speculation that inevitably accompanies any new blockchain infrastructure.