Circle Introduces Arc: An Economic Operating System for the AI Age

Arc Launch Announcement: Circle CEO Jeremy Allaire introduced Arc, an economic operating system set for public testnet release on October 28, 2025, and mainnet in 2026, with support from over 100 global companies including major financial institutions like Goldman Sachs and Visa.

Financial Ecosystem Impact: Arc aims to transform financial ecosystems by integrating capital markets and payment systems with smart contracts, focusing on sub-second settlements, privacy controls, and dollar-denominated fees, which could enhance stablecoin transactions in emerging markets.

Institutional Interest and Regulatory Support: There is growing institutional interest in Arc, bolstered by evolving regulations in the UAE that favor stablecoin payments, alongside historical trends indicating increasing regulatory support for stablecoins in the U.S.

Comparison to Ethereum DeFi: Arc's approach mirrors past blockchain initiatives, particularly Ethereum's DeFi ecosystem, emphasizing the integration of stablecoins like USDC and USDT to improve financial processes through technological advancements.