Circle has announced the integration of its stablecoin USDC onto Arbitrum's Layer 2 (L2) chain, marking a significant move in the decentralized finance (DeFi) space. This development positions USDC to compete directly with Tether's USDT within Arbitrum's ecosystem, which boasts $2.5 billion in total value locked (TVL). Arbitrum, known for its scalability and low transaction costs, is the largest L2 hub on Ethereum and is increasingly becoming a prime platform for DeFi, gaming, and next-generation decentralized applications (dApps).