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Circle Unveils cirBTC Token to Expand Bitcoin’s Role in DeFi Ecosystem

Circle Unveils cirBTC Token to Expand Bitcoin’s Role in DeFi Ecosystem

New token aims to bring Bitcoin into decentralised finance applications.

Written by Rahul Dhingra, Edited by Ketan Pratap | Updated: 3 April 2026 17:59 IST

Circle Unveils cirBTC Token to Expand Bitcoin’s Role in DeFi Ecosystem

Photo Credit: X/Circle

Circle introduces cirBTC to expand Bitcoin use in DeFi ecosystems

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Highlights

cirBTC offers 1:1 backed and verifiable Bitcoin exposure
Token aims to solve trust issues with wrapped BTC assets
DeFi platforms may see increased Bitcoin participation

Circle has now introduced a new token called cirBTC, deploying first on the Ethereum mainnet and its own Arc blockchain. It mainly aimed at bringing Bitcoin into decentralised finance (DeFi) ecosystems by offering a fully packed and verifiable representation of the asset on-chain. The token is meant to let people who own Bitcoin use DeFi applications like lending, providing liquidity, and making money without having to use regular wrapped tokens. Circle claims that cirBTC will be backed 1:1 with Bitcoin and built on an infrastructure that is intended to enhance transparency and trust.

Circle Targets Bitcoin Utility Expansion in DeFi Markets

Circle is focusing on building user trust by being open and verifiable as it gets ready to roll out cirBTC to more people. The token is expected to integrate with existing DeFi platforms, allowing users to deploy Bitcoin in decentralised applications more efficiently. People who are involved in the market will be paying close attention to how many people use the token, how much liquidity it adds, and how well it does compared to other wrapped Bitcoin solutions.

In a post on X, Rachel Mayer, Vice President of Product at Circle and the Arc blockchain, addressed the need for such a solution, stating, “Bitcoin is sitting on the sidelines of DeFi. Not because people don't want yield or liquidity – it's because they don't trust the wrapper.” She further added, “cirBTC is Circle's answer: 1:1 backed, on-chain-verifiable, and built on infrastructure the market already trusts,” highlighting the company's focus on solving trust issues associated with existing products.

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Circle Wrapped Bitcoin is coming.

Backed 1:1 by BTC and readily verifiable onchain, cirBTC is being built to work seamlessly with Circle infrastructure and the broader DeFi ecosystem.

Learn more: https://t.co/wWzVBZdIz1 pic.twitter.com/Db5U3InaNA
— Circle (@circle) April 2, 2026

Circle is still growing its role in the global crypto ecosystem and talking to regulators, which is why the launch is happening. Recently, the company urged UK authorities to combine regulatory clarity from Europe's Markets in Crypto-Assets (MiCA) framework with evolving US stablecoin policies. This effort is part of Circle's larger plan to make sure that new ideas follow the rules as digital assets become more popular.

Circle is gradually positioning cirBTC as a bridge between Bitcoin and DeFi, a segment largely dominated by Ethereum-based assets. If this adoption picks up proper momentum, this token could play a key role in unlocking new use cases for Bitcoin while addressing prevailing concerns around trust and transparency in wrapped asset solutions.

Cryptocurrency is an unregulated digital currency, not a legal tender and subject to market risks. The information provided in the article is not intended to be and does not constitute financial advice, trading advice or any other advice or recommendation of any sort offered or endorsed by NDTV. NDTV shall not be responsible for any loss arising from any investment based on any perceived recommendation, forecast or any other information contained in the article.

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Further reading: Circle, Bitcoin, Ethereum, crypto news

Rahul Dhingra

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Rahul Dhingra is a crypto writer at Gadgets 360, where he covers the exciting world of Cryptocurrency, Blockchain, Defi and Web3. Before joining Gadgets 360, he worked as a content specialist for a European-based Crypto Exchange. Rahul loves storytelling, not just through the written word but also through the visual medium. Beyond his professional life, Rahul is a sports fanatic. Whether it’s cricket or football, his passion for the game is contagious. More