Circle Details cirBTC Reserve Mechanism and On-Chain Verification

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Circle has shared on-chain news regarding cirBTC’s reserve mechanism, confirming that each token is 1:1 backed by native BTC. Reserves are held by a Circle-affiliated entity and managed by Circle National Trust, an OCC-regulated firm. These assets are segregated from corporate holdings and dedicated solely to cirBTC holders. The token is live on Ethereum and will support Arc mainnet after its launch. Circle also enables reserve verification through public BTC addresses and Chainlink Proof of Reserve. Federal Reserve-related news remains unrelated, but on-chain transparency is emphasized to foster market confidence.

ChainCatcher reports that Circle has published details on the reserve mechanism for cirBTC, stating that each cirBTC is fully backed 1:1 by one native BTC and is redeemable 1:1 for native BTC. The underlying BTC is held by an affiliate of Circle and custodied by Circle National Trust, a entity regulated by the U.S. Office of the Comptroller of the Currency (OCC). Reserve assets are segregated from Circle’s corporate assets and are used solely to safeguard the rights of cirBTC holders. cirBTC is currently live on Ethereum and will receive native support following the launch of the Arc mainnet, with plans to expand to additional blockchains over time. Circle also provides on-chain reserve verification through publicly disclosed BTC reserve addresses and the Chainlink Proof of Reserve mechanism, enabling market participants to verify the total BTC reserves against the circulating supply of cirBTC on each supported chain.

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