Circle has unveiled 11 founding validators for its upcoming Arc blockchain, bringing together some of the world’s largest financial institutions as the stablecoin issuer accelerates its push into tokenized finance.
The announcement, made alongside the company’s second-quarter earnings, names BlackRock, Visa, Mastercard, DTCC, ICE, Standard Chartered, Galaxy, Global Payments, MoneyGram, SBI Group, Sumitomo Corporation, and Circle itself as the initial validators securing the network.
Arc remains in private mainnet and is scheduled to launch publicly on September 16, positioning itself as an institutional blockchain built around USDC.
Circle Builds Institutional Blockchain Around USDC
Arc is a Layer 1 blockchain designed with USDC serving as its native gas token. The network offers sub-second transaction finality, optional privacy features, and full compatibility with the Ethereum Virtual Machine (EVM), allowing developers to deploy Ethereum-based applications with minimal changes.
Unlike many public blockchains that rely on decentralized validator networks, Arc’s security model centers on regulated financial institutions. Circle says this structure is intended to meet the operational, security, and compliance standards expected by large financial market participants.
The company first introduced Arc in 2025 before launching its public testnet later that year. In May, Circle raised $222 million through an ARC token presale at a reported $3 billion fully diluted valuation.
BlackRock and DTCC Expand Tokenization Plans
Several founding validators are already planning broader integrations on Arc.
BlackRock is expected to deploy its BUIDL tokenized money market fund on the network, enabling institutional investors to subscribe, redeem, and utilize fund assets directly through USDC within a single onchain environment.
Meanwhile, Circle is collaborating with The Depository Trust & Clearing Corporation (DTCC) to support the tokenization of DTC-custodied assets beginning in the second half of 2027. The initiative aims to enable stablecoin-based settlement using tokenized securities connected to existing market infrastructure.
Arc’s ecosystem is also expected to launch with support from major decentralized finance protocols including Aave, Morpho, and Uniswap, alongside wallets and exchanges such as Binance Wallet, Kraken, Ledger, and MetaMask.
Q2 Results Show Growth Despite Lower Interest Rates
Circle released its validator announcement alongside second-quarter financial results that reflected continued USDC expansion despite a softer interest rate environment.
The company reported $701 million in total revenue and reserve income, a 7% increase from a year earlier. Net income from continuing operations reached $48 million, while adjusted EBITDA climbed 8% to $143 million.
USDC circulation rose 19% year over year to $73.3 billion, with onchain transaction volume surging 151% to $14.8 trillion.
Circle also increased its full-year revenue guidance for its Other Revenue segment following recognition of ARC token presale revenue.
Circle Secures Federal Banking Approval
Adding to the momentum, Circle confirmed it has received final approval from the U.S. Office of the Comptroller of the Currency (OCC) to establish Circle National Trust, making it among the first stablecoin issuers to obtain a federal trust bank charter. The company also received approval from the New York Department of Financial Services (NYDFS) for a limited-purpose trust company.
CEO Jeremy Allaire said institutional adoption of USDC continues to accelerate, noting that major financial firms are expanding existing blockchain initiatives rather than merely testing the technology.
Conclusion
Circle’s latest announcements highlight its strategy of combining regulated financial infrastructure with blockchain technology. With major institutions validating Arc, growing USDC adoption, and new federal banking approvals, the company is positioning itself at the center of the evolving tokenized finance ecosystem ahead of Arc’s public launch.
