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Circle just raised $222 million in a presale for Arc, its not-yet-launched Layer 1, at a $3 billion fully diluted valuation. The backer list consists of big names like 
a16z crypto, BlackRock, Apollo, and Intercontinental Exchange.
What’s the Scoop?
- The Network: Arc is Circle's planned L1 for institutional finance. It will be EVM-compatible, USDC will be the gas token, and the chain will boast settlement, optional privacy, and quantum-resistant security at launch. Public testnet began last October, with more than 100 institutional participants, including BlackRock, Visa, Goldman Sachs, and Anthropic. So far it has processed more than 166 million transactions.
- The Token: Of Arc’s 10 billion supply, Circle says 60% goes to people who build on the network or use it, 25% stays with Circle to run validator infrastructure and earn staking revenue, and 15% is set aside in a long term reserve.
- Q1 Report: The raise showed up in Circle's Q1 report, which had strong growth numbers and softer profit numbers. Revenue rose 20% year over year. USDC in circulation climbed 28% to $77 billion. Onchain USDC transaction volume jumped 263% to $21.5 trillion. Yet net income fell 15% to $55 million due to operating expenses being up 76%.
- Setting up for Agents: Circle also rolled out Circle Agent Stack, a toolkit for AI agents to thrive on Arc. It includes wallets, a marketplace, and a nanopayments layer for gas-free USDC transfers as small as $0.000001.
Introducing the ARC whitepaper.
— Arc (@arc) May 11, 2026
The paper outlines how ARC could serve as the native coordination asset of the Arc network, supporting security, economic governance, fee mechanics, and broader platform utility as Arc evolves.
The core idea: stablecoins move value. Arc provides… pic.twitter.com/0tL6BlV1HJ
