Stablecoin issuer Circle, the corporate behind the USDC dollar-pegged stablecoin, is planning a local token for its ARC layer-1 blockchain testnet, an enterprise-focused Ethereum Digital Machine community.
Circle launched the Arc testnet in October, with participation from funding financial institution Goldman Sachs, asset supervisor BlackRock, bank card firm Visa and over 100 different corporations.
The corporate, which disclosed plans for the brand new token alongside its earnings on Wednesday, initially deliberate to heart gasoline charges on the Arc community round USDC (USDC) and different stablecoins.
Based on a press release, Circle’s long-term aim is to pivot Arc to a decentralized governance mannequin of geographically distributed validators:
“Circle is exploring the opportunity of launching a local token on the Arc community, which might foster community participation to drive adoption, additional align the pursuits of Arc stakeholders, and assist the long-term progress and success of the Arc community.”
Cointelegraph reached out to Circle however had not obtained a response at time of publication.
Associated: Circle’s Arc attracts South Korea’s first won-backed stablecoin experiment
Circle posts sturdy Q3 monetary outcomes
The corporate additionally disclosed its monetary outcomes for the third quarter of 2025, reporting income of $740 million, a 66% year-over-year enhance. Circle reported internet earnings of $214 million in Q3, representing a 202% acquire over the interval.
Nevertheless, prices additionally rose, with distribution and transaction prices rising by 74% in contrast with 2024, totaling $448 million within the final quarter.
Moreover, working prices rose by 70% in Q3, reaching $211 million, which the corporate attributed to a 14% enhance in its workforce and better compensation prices for workers.
Circle’s earnings earlier than curiosity, taxes, depreciation and amortization (EBITDA), a important metric for publicly-traded shares, elevated by 78% year-over-year, totaling $166 million for the quarter.
Appchains: the way forward for crypto and blockchain?
The launch of the Arc community highlights the rising institutional involvement in crypto and the shift towards application-specific blockchain networks tailor-made for particular use instances, platforms, and digital property.
Builders turning to application-specific blockchain networks goal to avoid the comparatively low pace, scalability points, and excessive charges related to general-purpose blockchain networks that deal with combined site visitors.
Hyperliquid and Injective protocols are examples of functions constructed on app-specific layer-1 blockchain networks.
Nevertheless, critics argue that app-specific blockchains fragment liquidity, are liable to hacking on account of centralization, and lack the neighborhood assist that could be a function of general-purpose blockchain networks with distributed governance.
“Appchains additionally grossly underestimate the price of infrastructure and compliance: explorers, custody, exchanges, oracles, bridges, toolkits, built-in growth environments, on/off ramps, native issuance and integration, and regulatory compliance,” Andre Cronje, co-founder of Sonic Labs, mentioned.
Marc Boiron, CEO of Polygon Labs, the lead growth group for the Polygon layer-2 blockchain community, disagreed with Cronje, arguing that extra sturdy interoperability between blockchain networks is already taking place and can resolve these points.
Journal: Crypto wished to overthrow banks, now it’s changing into them within the stablecoin combat