Circle launches Arc chain to address high distribution costs

Circle's Q2 2026 financial data reveals that distribution and transaction costs consumed nearly 60% of its revenue. The company launched its Arc chain on September 16, aiming to retain more revenue by organizing its stablecoin, financial applications, and developer services within a permissioned validator network. Circle Internet Group (CRCL) continues to rely on reserve yields as its primary business engine, while USDC and EURC remain its core payment tokens.