Circle CEO Jeremy Allaire announced on X on May 22 that Circle Wrapped Bitcoin (cirBTC) will go live, and users can obtain and test it via Arc and Ethereum testnets. cirBTC is a tokenized Bitcoin backed 1:1 by native Bitcoin reserves, with the underlying Bitcoin held in custody by regulated entities within Circle.
cirBTC’s technical architecture: 1:1 native Bitcoin custody and dual-network issuance
According to Circle’s official website, each cirBTC is supported by 1:1 native Bitcoin reserves, with custody handled by regulated entities within the Circle group. cirBTC and Circle’s existing tech stack are fully integrated, including the Circle Mint platform (which can be used to access USDC and EURC) and the Arc Layer 1 blockchain. The Arc mainnet is expected to launch this year, and Circle has also reportedly been considering issuing a native token for Arc; as of this report, this has not been officially confirmed.
Institutional positioning: differentiated strategy amid wBTC governance controversies
Circle said cirBTC is designed to provide institutions with a “highly secure and neutral wrapped Bitcoin version.” The largest wrapped Bitcoin token in the market today, wBTC, was created by BitGo in 2019, with oversight carried out by a consortium including BitGo and entities associated with Justin Sun. Due to concerns about Justin Sun’s involvement, some institutions have reduced their investment in wBTC or cut ties. Coinbase’s cbBTC is another competing product issued by Circle’s long-term partner. Circle’s institutional clients can access and exchange cirBTC via Circle Mint.
Background on Circle’s product line: expansion into USYC and non-stablecoin business
cirBTC is one of the few non-stablecoin products from Circle. After acquiring Hashnote, Circle also operates USYC yield-bearing tokenized money market fund products. Circle’s initial flagship product, Circle Pay (used for sending Bitcoin payments), ceased operations in 2019. Since then, the company has transitioned to focus on stablecoin business; USDC is currently the second-largest dollar stablecoin by marketcap, and EURC is the largest euro stablecoin in the market.
FAQs
What stage is cirBTC currently in, and when will it be officially issued?
As of May 22, 2026, the cirBTC testnet faucet is already available for users to test on Arc and Ethereum. Circle CEO Jeremy Allaire said it is “about to go live,” but did not disclose the specific date for the official mainnet launch.
What are the main differences between cirBTC, wBTC, and cbBTC?
Circle positions cirBTC as an “institutional-grade global standard.” The underlying Bitcoin is directly held in custody by regulated entities within the Circle group, without external consortium governance. wBTC is managed by a consortium including BitGo and entities associated with Justin Sun; cbBTC is issued by Coinbase. cirBTC’s differentiated positioning mainly targets institutions that have concerns about wBTC governance.
On which networks is cirBTC issued, and does it support other public chains?
Circle said cirBTC will be issued first on the Ethereum mainnet and Arc Layer 1, and will be integrated with Circle Mint. As of now, Circle has not announced plans to support other public chains. The Arc mainnet is expected to launch this year.
