Circle Launches cirBTC, a Regulatory-Compliant Wrapped Bitcoin on Ethereum and Arc

Circle, the company behind the USDC stablecoin, is expanding its services with the launch of cirBTC, a regulatory-compliant wrapped Bitcoin product. The token will operate on both Ethereum and Circle's proprietary Layer 1 blockchain, Arc.

cirBTC will be fully backed by actual Bitcoin held in direct custody by Circle, which is registered as a money services business with FinCEN and operates under various state-level money transmitter licenses. This approach aims to reduce counterparty risk and provide greater transparency for users.

The launch of cirBTC represents a significant step toward bridging traditional finance compliance with decentralized asset functionality. By leveraging its regulatory status and existing infrastructure from USDC, Circle is positioning itself to capture demand for a trusted, transparent wrapped Bitcoin.