Circle launched Arc, a Layer-1 blockchain designed specifically for stablecoins like USDC. It aims to address common issues with existing blockchains, such as unpredictable fees and lack of privacy, making digital dollar transactions more efficient and compliant.

Arc has launched its public testnet, inviting developers and enterprises to build on its new Economic OS, designed to facilitate real-world economic activity onchain. With participation from major financial institutions and diverse global players, Arc aims to create a more inclusive and efficient global economic system. The platform supports stablecoin issuers and provides essential tools for developers to enhance the digital asset ecosystem.

Circle is set to launch Arc, an EVM-compatible Layer 1 blockchain that will use its USDC stablecoin as the native gas token. The announcement follows a strong Q2 performance, with revenue up 53% to $658 million, despite a net loss attributed to IPO-related charges.