Circle Acquires Interop Labs to Accelerate Cross-Chain Blockchain Infrastructure

Source: DefiPlanet Original Title: Circle Acquires Interop Labs to Accelerate Cross-Chain Blockchain Infrastructure Original Link: https://defi-planet.com/2025/12/circle-acquires-interop-labs-to-accelerate-cross-chain-blockchain-infrastructure/

Quick Breakdown

• Circle acquires Interop Labs’ team and IP to accelerate cross-chain blockchain infrastructure.
• Integration enhances Arc blockchain capabilities and multichain developer tools.
• Axelar Network remains independent; Common Prefix continues Axelar contributions.

Overview

Circle has announced an agreement to acquire the Interop Labs team and proprietary intellectual property, a key contributor to the Axelar Network. This strategic move is designed to strengthen Circle’s cross-chain blockchain infrastructure and accelerate interoperability across its Arc blockchain and Cross-Chain Transfer Protocol (CCTP) products. The acquisition is expected to close in early 2026.

Boosting cross-chain capabilities

Interop Labs has been instrumental in developing Axelar, a secure framework for cross-chain messaging and token transfers. By integrating the Interop Labs team and technology, Circle plans to enhance Arc’s multichain capabilities, expand developer software development kits (SDKs), and accelerate first-party app development. The Axelar Network, Foundation, and the AXL token will remain independent under community governance, with open-source intellectual property staying open source. Common Prefix will assume responsibility for Interop Labs’ ongoing contributions to Axelar.

Circle’s Chief Product and Technology Officer, Nikhil Chandhok, emphasized that the acquisition will “accelerate the Arc and CCTP roadmaps toward building the hub for multichain internet finance.” Sergey Gorbunov, CEO and co-founder of Interop Labs, added, “We are proud of what we’ve built with Axelar and excited to see our team and technology become a core part of Circle’s interoperability strategy.”

Advancing blockchain interoperability

The acquisition is a major step toward Circle’s vision of seamless, compliant digital asset movement across more than 100 blockchain ecosystems. By combining Interop Labs’ expertise with Circle’s existing infrastructure, the company aims to make blockchain connectivity more efficient for developers and users alike. This integration will enhance multichain application development, simplify cross-network asset transfers, and strengthen Circle’s position as a leading provider of blockchain infrastructure solutions.

Strategically, Circle is focused on institutional expansion through the Arc Layer-1 testnet and the growth of the Circle Payments Network, reinforcing USDC as a regulated, liquid, asset-backed foundational component of the financial system. Circle plans to fully integrate the Arc network across its existing platforms and services, ensuring interoperability with other blockchains that Circle supports.