Circle Raises $222 Million for Arc as Q1 EPS Beats on $694 Million Revenue Miss
Updated
Updated · CoinDesk · May 11
Circle Raises $222 Million for Arc as Q1 EPS Beats on $694 Million Revenue Miss
5 articles · Updated · CoinDesk · May 11
$222 million from Arc's token presale valued Circle's new blockchain at $3 billion, marking its biggest push beyond USDC and payments infrastructure.
Q1 EPS came in at $0.21 versus $0.17 expected, but revenue rose 20% to $694 million and still missed the $715 million consensus; adjusted EBITDA increased 24% to $151 million.
USDC activity underpinned the quarter: onchain transaction volume jumped more than 260% to $21.5 trillion, while circulation grew 28% to $77 billion.
BlackRock, Apollo, a16z crypto, ARK Invest, Bullish and Intercontinental Exchange joined the Arc round as Circle published a whitepaper positioning ARC for governance, validator security and regulated onchain finance.
Arc, in testing since October, is aimed at stablecoin-based capital markets, tokenized assets and cross-border settlement, deepening Circle's bid to build institutional blockchain infrastructure.
Will Circle's new blockchain, backed by Wall Street giants, truly decentralize finance or just put the old system on new rails?
With AI agents making autonomous payments on Arc, what new systemic financial risks emerge beyond direct human control?
$222 Million ARC Token Presale: Circle’s Arc Blockchain Targets Institutional Finance and Navigates Regulation
Overview
Circle's $222 million ARC Token presale marks a major step as the company launches Arc as a separate financial venture, keeping its financial results distinct from Circle’s core business. This strategic move positions Arc as both a growth opportunity and a defensive measure in the rapidly changing stablecoin market. With new regulations like the GENIUS Act and the pending STABLE Act shaping the landscape, Circle is proactively adapting to stay competitive. By isolating Arc’s financial performance and focusing on innovation, Circle aims to maintain its leadership as traditional banks and fintechs consider launching their own digital dollar tokens.