Circle, the issuer of the USDC stablecoin, has acquired Malachite, the consensus engine designed for its upcoming payments-focused blockchain called Arc. This acquisition, announced via a press release on Monday, aims to enhance Circle’s focus on stablecoin transactions.

• Several employees from Informal Systems will transition to Circle as part of this acquisition, although the financial terms of the deal have not been disclosed.

The deal coincides with Circle’s recent announcement of its plans to develop a dedicated layer-1 blockchain tailored for stablecoin finances, aligning with emerging trends in the cryptocurrency sector aimed at tapping into a projected trillion-dollar market for stablecoins.

Malachite, rooted in the Tendermint consensus algorithm, is known for its adaptability and dependability in decentralized frameworks. Informal Systems is committed to maintaining its open-source status under the Apache 2.0 license, permitting developers to leverage and evolve the technology. Amidst this, Informal will also support various other applications for Malachite and further its initiatives in distributed systems and cross-chain tools.

Read more: Why Circle and others are launching their own blockchains.