TLDR
- Circle has acquired the Interop Labs team and proprietary technology to enhance its Arc blockchain and CCTP products.
- The acquisition excludes Axelar’s open-source IP, which will now be managed by a new entity called Common Prefix.
- CEO Sergey Gorbunov and key engineers will join Circle, helping expand multichain asset transfer capabilities.
- Axelar Foundation remains active, with $30M in AXL token sales used to support its open-source development and protocol growth.
- Circle aims to improve interoperability across its products, including USDC, Arc, and CCTP, using Interop’s tech integration.
Circle has acquired the team and proprietary technology of Interop Labs, the original developer behind the Axelar Network. The acquisition includes engineering and product teams and supports Circle’s plan to advance interoperability. The deal is expected to close early next year.
Interop Labs Joins Circle to Advance Arc and CCTP Integration
Circle confirmed that Interop Labs’s technology and staff will join its internal efforts to build Arc and Circle CCTP products. Arc is Circle’s open Layer 1 blockchain designed to serve as an economic infrastructure layer. The integration supports Circle’s plans to connect Arc with multiple blockchains.
CEO Sergey Gorbunov of Interop Labs will also join Circle following the team acquisition. “Interop Labs’s engineering and product teams represent some of the brightest minds in the industry,” a Circle spokesperson said. Circle aims to accelerate product development and enhance Arc’s onchain reach.
The acquired technology will not include any open-source intellectual property related to Axelar Network. Circle confirmed that only proprietary assets developed by Interop Labs are part of the acquisition. These assets will assist in advancing onchain interoperability across Circle’s platforms.
Axelar IP to Be Managed Separately Through Common Prefix
Axelar Network will remain an open-source protocol and continue operating through contributions from its developer community. Interop Labs’s departure shifts the responsibility of Axelar development to a new entity called Common Prefix. This ensures continuity of the Axelar ecosystem and its crosschain services.
“Axelar continues as an open-source innovator,” said Gorbunov. “We are working closely with Common Prefix to ensure continuity and support.” Common Prefix will manage all open-source IP as part of this transition.
Axelar Foundation, the nonprofit supporting Axelar, remains focused on network growth. Earlier this year, it confirmed the sale of $30 million worth of AXL tokens. The funds were used to promote protocol development and further expand Axelar’s interoperability goals.
Circle’s Interoperability Push Expands with Acquisition and New Talent
Circle emphasized its commitment to multichain interoperability across its blockchain products and stablecoin platforms. “Circle is committed to supporting interoperability with many onchain networks,” said Chief Product and Technology Officer Nikhil Chandhok. This includes continued development on Arc, USDC, and CCTP.
The company sees the acquisition as a step toward more seamless asset transfers across multiple chains. Circle plans to incorporate Interop’s technology into its expanding crosschain infrastructure. The aim is to build a unified and secure blockchain ecosystem for its users.
Circle clarified that Interop’s integration will not affect Axelar’s independent operation. The deal strictly involves proprietary assets and talent, not open-source components. Final closure of the transaction is expected in early 2026.
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