Circle Introduces cirBTC Backed by Onchain BTC Reserves

TLDR

• Circle has introduced cirBTC as a wrapped bitcoin product backed by native BTC reserves.
• Each cirBTC token will be fully collateralized and verifiable onchain in real time.
• Circle stated that it will not rely on third-party attestations or opaque custodians.
• The company will launch cirBTC first on Ethereum and its Arc blockchain.
• Circle designed the product for institutions, including OTC desks and market makers.

Circle has introduced cirBTC, a wrapped bitcoin product backed by native BTC reserves. The company shared the announcement on its official X account and product page. The launch expands Circle beyond stablecoins into tokenized bitcoin infrastructure.

Circle Expands Into Wrapped Bitcoin With cirBTC

Circle confirmed that each cirBTC token will hold full collateral in native bitcoin reserves. The company stated that users can verify reserves onchain in real time. Circle said it will not rely on third-party attestations or opaque custodians.

The company aligned cirBTC with the same framework used for USDC and EURC. It emphasized consistent issuance, auditable reserves, and broad liquidity access. Circle described the product as a “trusted, neutral wrapped BTC solution” for institutions.

Circle said it designed cirBTC to address institutional concerns about custody and transparency. The company cited over $1.7 trillion in bitcoin held outside decentralized finance. It attributed that figure to trust gaps in existing wrapped bitcoin products.

The company stated that cirBTC will operate across multiple blockchains. It confirmed that Ethereum and Arc will host the initial launch. Circle said the token will support cross-chain mobility and native integration with USDC, Arc, and Circle Mint.

Institutional Focus and Regulatory Framework

Circle said it built cirBTC for OTC desks, market makers, and liquidity providers. The company also targeted lending protocols and derivatives platforms. It stated that institutions can use cirBTC as collateral or settlement assets.

The company confirmed that cirBTC will operate under its regulated platform. Circle holds Money Transmitter licenses across several U.S. states. It also maintains a Virtual Currency Business Activity license in New York.

Circle operates under a Bermuda Monetary Authority license for digital asset services. The company said it will subject cirBTC to applicable regulatory approvals. It listed the token as “coming soon” without a confirmed launch date.

The product page invites institutions to join a waitlist or contact Circle directly. Circle included standard risk disclosures with the announcement. It stated that digital assets carry price volatility and lack deposit insurance coverage.

The company clarified that digital assets are not legal tender. It also said the information provided does not constitute an offer or commitment. Circle identified Circle Technology Services, LLC as a software provider only.

Circle stated that Circle Technology Services, LLC does not act as a financial services entity. The company separated its software role from regulated financial activities. It maintained that cirBTC will extend its reserve and compliance model to Bitcoin.

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