Circle Expands Into Wrapped Bitcoin as cirBTC Supply Starts at 40 BTC
Circle has launched cirBTC as fully overcollateralized wrapped Bitcoin, entering a competitive sector currently dominated by WBTC and Coinbase's cbBTC.
Circle's newly launched wrapped Bitcoin product, cirBTC, held 40 BTC in collateral as of an August 27 snapshot. Circle CEO Jeremy Allaire highlighted the asset as part of the firm's broader vision to build an open platform for the global internet financial system.
While cirBTC remains verified as fully overcollateralized, its circulating supply lags far behind established competitors such as WBTC and Coinbase's cbBTC, which control the vast majority of wrapped Bitcoin liquidity on decentralized finance protocols.
Circle plans to leverage its upcoming Arc infrastructure to boost distribution, though bridging liquidity from entrenched incumbents will pose a significant competitive challenge in decentralized finance markets.
Key takeaways
- Circle's wrapped Bitcoin asset, cirBTC, held 40 BTC according to initial audit snapshots.
- The asset enters a market heavily dominated by incumbents like WBTC and cbBTC.
- Circle aims to expand cirBTC liquidity through its broader ecosystem and Arc platform.