Arc Blockchain Gains Traction Among Major Financial Institutions
Circle's new blockchain, Arc, is gaining significant traction among major financial institutions. Companies like BlackRock, Visa, Mastercard, Standard Chartered, MoneyGram, and Intercontinental Exchange (the parent company of the New York Stock Exchange) are lining up to use this new platform.
Arc is specifically designed for stablecoin-driven transactions, cross-border settlements, and tokenized real-world assets. Unlike general-purpose blockchains like Ethereum or Solana, Arc allows users to make transfers without holding volatile native tokens. Instead, all transactions on Arc are funded by Circle's USD Coin (USDC), which is pegged to the US dollar and backed by cash and U.S. Treasuries.
One of the key advantages of Arc is its speed: it can move money in less than half a second for a fraction of a cent, making it a faster and cheaper alternative to SWIFT transfers. Additionally, Arc runs 24/7 and instantly crosses borders, providing greater flexibility for users.
The launch of Arc has significant implications for Circle's stock, which has declined nearly 60% over the past 12 months. With major financial institutions backing Arc, Circle is poised to become a more attractive investment opportunity.