Circle launches cirBTC on Ethereum and Arc to use Bitcoin as collateral
- —cirBTC is backed 1:1 by Bitcoin and launches on Ethereum and Arc
- —Holders can use it as collateral for lending and trading without selling BTC
- —Circle says cirBTC is not a derivative and generates no yield
- —Custody, minting and reserve-audit details were not disclosed
Why it matters: A wrapped Bitcoin from a major stablecoin issuer broadens BTC's use in DeFi, though custody and reserve-verification questions remain open.
Source: DiarioBitcoin