Circle Expands CCTP to Third-Party Issuer ERC-20 Tokens on Arc

On October 30, 2026, Circle announced the expansion of the Cross-Chain Transfer Protocol (CCTP) infrastructure to ERC-20 tokens managed by issuers on the Arc platform. Developers can move assets between supported blockchains without bridges and wrapped copies. The company described two integration methods: create a new cross-network token through Circle's service or connect an existing ERC-20 with a custom configuration.

Both options use a burn-and-mint model: the token is destroyed in the source network, Iris verifies the transaction and issues an attestation, after which the corresponding amount is created in the target network. For new assets, the developer deploys a CrossChainToken through the CrossChainTokenService Arc: a contract and a separate cross-network operations manager are created, and a common identifier is built from the deployer's address and salt value. Existing issuers register assets as CCTP with a custom configuration without replacing the original contracts but configure the token on each network of the route.

The issuer retains control over administrative rights, transfer limits, and maximum amounts. Limits are set during deployment or later through the token manager; if left at zero, transfers are blocked. For USDC, TokenMessengerV2 is used, for third-party assets – CrossChainTokenService. Compatible decimal places and mutual trust between services are required. There is a separate option for tokens whose issuers do not control the contracts, but the burn-and-mint model is not applied in it.

Expansion beyond USDC

Previously, CCTP was associated with Circle asset transfers, primarily USDC. In September, Circle extended support to EURC and cirBTC on separate routes. Each blockchain stores its contracts and balances, although assets have a unified identity for cross-network transfers.

How it works

In the guide, Circle describes deploying a token in the Arc test network and connecting to another EVM-compatible network: the deployer's address, token data, and USDC in the Arc test network are needed for fees. After deployment, the developer receives the token identifier, requests a quote in Iris, deploys the token in the target network, sets limits, approves the token manager, and sends crossChainTransfer. The target contract creates tokens after attestation. Circle's forwarding service delivers funds without the recipient paying gas if the fee is included in the initial quote; in September, Circle introduced prepaid fees.

Arc Context

The guide was released after the launch of the Arc mainnet on September 16: it is a first-level network with fees in USDC, deterministic finality, institutional validators, and support for stablecoins and tokenized products. Later, Circle released Arc Studio – an AI-based tool for generating program contracts from natural language instructions. Before launching in a production environment, Circle recommends checking rights, limits, and contract addresses, and obtaining fresh Iris quotes for new routes. Responsibility for tokens and regulatory requirements remains with the issuers.