Circle announces Arc, a layer-1 blockchain with USDC as native gas

Circle/Arc

Circle announced Arc on August 12, 2025, a layer-1 blockchain purpose-built for stablecoin finance. Arc uses USDC as native gas (providing stable dollar-denominated fees), achieves sub-second settlement via Malachite consensus, includes a built-in FX engine, optional privacy, and EVM compatibility. Private testnet began in coming weeks; mainnet beta planned for 2026.

• USDC pays fees, so costs remain stable in dollars rather than fluctuating with gas tokens.
• Sub-second deterministic finality powered by Malachite; EVM-compatible for familiar developer tools.
• Built-in FX engine for price discovery and 24/7 peer-to-peer onchain settlement; optional privacy for compliance.