Internet Financial, the company behind USDC, reported a 28% year-over-year increase in stablecoin circulation to $77 billion in Q1 2026, while on-chain transaction volume exploded 263% to $21.5 trillion. The robust growth was accompanied by a 20% rise in total revenue and reserve income to $694 million.
In a parallel announcement, Circle revealed that it had raised $222 million in a presale of its native ARC token, achieving a fully diluted valuation of $3 billion. The presale drew participation from an elite roster of legacy and crypto-native investors, including BlackRock, a16z crypto, ARK Invest, Intercontinental Exchange (ICE), Apollo Funds, Standard Chartered Ventures, SBI Group, Bullish, and General Catalyst.
The ARC token is designed to support governance, security, and network operations on Arc, Circle’s upcoming Layer-1 blockchain tailored for stablecoin payments and institutional finance. CEO Jeremy Allaire emphasized that the company is "entering the operating system business" and "also getting into the apps business," signaling ambitions well beyond its stablecoin roots.
Circle’s Q1 report also highlighted new AI-focused payment tools—Circle CLI, Agent Wallets, and Agent Marketplace—aimed at facilitating USDC transactions across blockchains. Allaire called the initiative "trusted infrastructure for AI-native economic activity." Meanwhile, plans are underway to introduce quantum-resistant wallets and signatures on Arc when mainnet launches later in 2026.
The developments come as Circle advances its public listing on the New York Stock Exchange under the ticker CRCL and benefits from clearer stablecoin regulations in the U.S. (GENIUS Act) and Europe (MiCA).
