Circle Details cirBTC's 1:1 BTC Backing and On-Chain Reserve Verification

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Circle has shared on-chain news regarding cirBTC’s 1:1 BTC backing and reserve verification. Each cirBTC is backed by native BTC held by a Circle-affiliated entity and custodied by Circle National Trust, a U.S. firm regulated by the OCC. Reserves are segregated and exclusively allocated to cirBTC holders. The token is live on Ethereum, with support planned for the Arc mainnet and other blockchains. Circle provides transparency into BTC reserves through public reserve addresses and the Chainlink Proof of Reserve system, enabling real-time verification of reserves against the circulating cirBTC supply.

Odaily Planet Daily reports that Circle has released an explanation of the cirBTC reserve mechanism, stating that each cirBTC is fully backed 1:1 by one native BTC and can be redeemed 1:1 for native BTC. The associated BTC is held by Circle-affiliated entities and custodied by Circle National Trust, regulated by the U.S. Office of the Comptroller of the Currency (OCC). Reserve assets are segregated from Circle’s corporate assets and used solely to protect the rights of cirBTC holders. cirBTC is currently live on Ethereum and will receive native support after the Arc mainnet launch, with gradual expansion to additional blockchains planned. 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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