TL;DR
- Circle launched StableFX, an onchain foreign exchange engine on its Arc blockchain, along with the Partner Stablecoins program, which integrates regional stablecoins linked to different fiat currencies.
- StableFX enables 24/7 trading between stablecoin pairs with atomic settlement, a request-for-quote model, and direct connectivity to multiple liquidity providers.
- The Partner Stablecoins program will include issuers such as Avenia, Juno, Forte, and Stablecorp, whose currencies will interoperate with USDC across payments, remittances, and FX operations.
Circle is expanding the reach of its new Arc blockchain with the launch of StableFX, an onchain FX engine built for institutional markets, and the Circle Partner Stablecoins program, which integrates regional stablecoins tied to different currencies. Together, these tools create an architecture aimed at modernizing the global foreign exchange market through programmable, continuous settlement.
StableFX operates within Arc as a trading and settlement system that enables stablecoin pair exchanges around the clock under a regulatory compliance framework. The engine uses a request-for-quote model that connects multiple liquidity providers to deliver competitive pricing and low slippage. It also employs atomic settlement, reducing counterparty risk and ensuring that payment and delivery occur simultaneously.
Arc Mainnet Expected in 2026
The service is live on Arc’s public testnet, launched on October 28 with participation from over one hundred institutions spanning banking, payments, and digital assets. Circle expects StableFX to play a central role in the mainnet launch planned for 2026. According to the company, its all-to-all model removes the need for bilateral counterparty agreements, accelerating access to global liquidity and reducing operational friction in FX flows.
Circle Builds a Unified Infrastructure and Liquidity System
In parallel, Circle introduced the Partner Stablecoins program, allowing selected issuers to deploy non-USD-pegged stablecoins within the Arc ecosystem. Participants must meet standards for reserves, transparency, and risk management.
The first integrations include stablecoins issued by Avenia (BRLA), Forte (AUDF), JYPC (JYPC), Juno (MXNB), Busan Digital Asset Custody Services (KRW1), Stablecorp (QCAD), Luno (ZARU), and Coins.ph (PHPC). These tokens will interoperate with USDC and enable payments, remittances, and FX transactions through the Payments Network and StableFX.
Circle describes these initiatives as a unified stack for infrastructure and liquidity: Arc provides the programmable settlement layer, Partner Stablecoins brings in regional currencies, and StableFX connects counterparties. With this structure, the company aims to offer an institutional alternative to the legacy FX system still reliant on prefunded accounts and T+1 settlement cycles.
