Circle Acquires Interop Labs, So Why Did Axelar (AXL) Price Dip?
Circle acquired Interop Labs, the developer of Axelar, causing the AXL token price to dip despite Axelar remaining independent.Summary
Stablecoin issuer Circle announced its acquisition of Interop Labs, the initial developer of the Axelar network, intending to integrate the team and technology to accelerate development of its Arc blockchain and Cross-Chain Transfer Protocol (CCTP). Crucially, the deal explicitly excludes the Axelar Network, Foundation, and the AXL token, which will continue to operate independently under the governance of the community.
Development responsibilities for Axelar will now be taken over by Common Prefix, a long-time contributor, which outlined a 2026 roadmap focusing on expansion, security improvements, and institutional readiness. Following the news, the AXL token price dropped nearly 13% in a day, extending a broader market downtrend. This event sparked community concern, with commentators viewing the situation as highlighting the "token versus equity problem" in crypto, where token holders bear risk without a claim on the equity exit, especially as the core development team transitions to Circle.
(Source：BeInCrypto)