Circle has launched cirBTC, a wrapped Bitcoin fully backed by BTC, aiming to enhance DeFi functionality while facing recent scrutiny.
Circle has officially launched cirBTC, a wrapped Bitcoin that is fully backed by actual Bitcoins at a 1:1 ratio. This initiative aims to enhance the usability of Bitcoin within the decentralized finance (DeFi) landscape.
Circle Wrapped Bitcoin is coming.
Backed 1:1 by BTC and readily verifiable onchain, cirBTC is being built to work seamlessly with Circle infrastructure and the broader DeFi ecosystem.
Learn more: https://t.co/wWzVBZdIz1
— Circle (@circle) April 2, 2026
The new token is designed primarily for over-the-counter (OTC) platforms, market makers, and lending protocols, providing a secure and efficient option for tokenized Bitcoin transactions. Circle has also opened a waitlist for interested users.
cirBTC will be integrated into Circle’s existing technology, including the Arc blockchain and the Circle Mint platform, which allows for the issuance and redemption of stablecoins. Initially, it will be available on Arc and Ethereum networks.
This launch marks a departure for Circle, which has primarily focused on stablecoins with offerings like the USDC. The company is also rumored to be developing a native token for the Arc network.
Circle's previous venture into Bitcoin payments, Circle Pay, was discontinued in 2019 as the company shifted its focus. Currently, it faces competition from other wrapped Bitcoin products, including BitGo’s WBTC, which has a market cap exceeding $7.9 billion, and Coinbase's cbBTC, launched in September 2024 with a market value of $5.9 billion.
To differentiate cirBTC, Circle is promoting it as the leading choice for institutional adoption in the cryptocurrency market. However, the company has faced scrutiny recently, including accusations of improperly freezing 16 wallets and criticism for its handling of a recent security incident involving the Drift Protocol.
