Circle Raises $222 Million for Arc Blockchain Project

Circle, a leading digital currency company, has closed a $222 million token presale for its Arc blockchain project. The funding round was led by Andreessen Horowitz, which committed $75 million to the venture. Other notable participants include Blackrock, Apollo Funds, and Intercontinental Exchange.

The Arc network is designed to support various applications, including stablecoins, tokenized assets, economic contracts, on-chain markets, and artificial intelligence (AI)-driven payment activity. Unlike most blockchains, Arc uses USDC for transaction fees rather than a volatile native gas token, providing institutions with predictable dollar-denominated costs.

The initial supply of ARC tokens is set at 10 billion, with 25% allocated to Circle for validator operations and staking, 60% going to network participants and contributors, and 15% held in a long-term reserve. Investor terms include multi-year lock-ups of at least one year after Arc transitions to proof-of-stake (PoS), with potential holds extending to four years.