Circle launches cirBTC as neutral wrapped Bitcoin infrastructure for institutions

Circle, the company behind USDC, has launched cirBTC, a 1:1 Bitcoin-backed ERC-20 token on Ethereum designed specifically for institutional players who want BTC exposure in DeFi without losing sleep over custody questions. The product went live on June 9, positioning Circle squarely against established wrapped Bitcoin products in a market worth roughly $12.5 to $13.5 billion. What cirBTC actually does At its core, cirBTC is a wrapped Bitcoin product. Users deposit BTC, receive an equivalent ERC-20 token on Ethereum, and can redeem it back for the underlying Bitcoin at any time. The token uses segregated custody for its Bitcoin collateral. The BTC backing cirBTC sits in dedicated accounts rather than getting commingled with other assets. Reserve verification runs through Chainlink Proof of Reserve, which provides independent, real-time attestation that the Bitcoin actually exists. With Chainlink’s oracle infrastructure, anyone can check the reserves on-chain at any moment. As of mid-August 2026, cirBTC is live for minting, redeeming, and reserve management globally. Circle has built the product using the same infrastructure model it developed for USDC and EURC, its euro-denominated ...