Payments group Stripe and stablecoin issuer Circle are developing their own Ethereum-compatible Layer 1 blockchains, according to multiple crypto industry commentators discussing the plans on 12 Aug. The networks would use the Ethereum Virtual Machine, allowing them to interact with the wider Ethereum ecosystem while giving the companies full control over settlement and transaction fees. Supporters argue the move could increase demand for ether because value settled on the new chains is expected to bridge back to Ethereum’s main network and its Layer 2 rollups. Critics, however, question whether purpose-built stablecoin chains can overcome the network effects and developer infrastructure already entrenched on public blockchains such as Ethereum and Tron. The debate echoes the 1990s shift from corporate intranets to the public internet, with some observers predicting that privately run chains will ultimately migrate toward Ethereum-based Layer 2 solutions. Neither Stripe nor Circle has publicly released technical details or a launch timetable for their proposed networks.