Circle (CRCL) Launches Onchain FX Engine on Arc Blockchain

Circle (CRCL), the company behind the $70 billion USDC token, is launching a new stablecoin-powered exchange engine that aims to modernize how institutions trade currencies by settling transactions on-chain, 24 hours with reduced counterparty risk.

The service, called StableFX, has gone live on a testnet through Arc, Circle’s own level 1 blockchain built to support programmable settlement and real-world economic activity, the company said in a blog post Thursday.

The exchange is one of the largest financial markets in the world, with more than $9 trillion traded daily according to a BIS report. However, most flows rely on outdated systems that require pre-funded accounts and settle trades with a delay. Stablecoins could process $1 trillion in annual payment volumes by 2030, with cross-border transfers and onchain FX reported as major areas of disruption, a recent report from trading firm Keyrock and expected crypto exchange Bitso.

Circle’s StableFX aims to remove that friction by settling transactions entirely on-chain and reducing settlement risk.

The platform allows verified institutional users to trade stablecoin-denominated currency pairs using real-time settlement and Request for Quotation (RFQ) prices across multiple liquidity providers.

Circle is also launching a partner program called Circle Partner Stablecoins to support non-dollar stablecoins in Arc. Initial participants include regional stablecoin issuers such as Avenia (BRLA), Juno (MXNB) and Stablecorp (QCAD), expanding the range of currency pairs available on StableFX.

Read more: Circle Q3 Profit Triples, Beating Estimates, on USDC Growth