Circle adds $3 billion Wall Street Arc token risking an uncomfortable rivalry with Coinbase

Circle has launched a $222 million presale for its ARC token, valuing its planned public blockchain, Arc, at $3 billion. This move signifies Circle's ambition to evolve beyond being solely a stablecoin issuer, like USDC, and become a full-stack infrastructure provider for on-chain finance. The Arc network is designed to support payments, tokenized assets, foreign exchange, capital markets, and AI-driven commerce, positioning Circle closer to the territory occupied by its longtime partner, Coinbase. Coinbase, through its Base Layer 2 network, is also building infrastructure for stablecoin settlement and agentic transactions. This strategic expansion by Circle introduces a potential head-to-head rivalry with Coinbase, as both companies increasingly compete for control over the flow of digital dollars and the development of AI-powered commerce infrastructure. While their alliance around USDC remains commercially beneficial, their infrastructure strategies are now converging, leading to overlapping products and services, such as Circle's planned cirBTC and Coinbase's cbBTC, indicating a move towards a less dependent relationship and increased friction over time.

(Source：CryptoSlate)