Circle Funds UN Agencies to Test USDC for Aid Payments
Circle Foundation grants will help the UNDP and the World Food Programme test regulated stablecoins for sending aid faster and more cheaply.
Two United Nations agencies will test stablecoins for aid payments, backed by grants from the Circle Foundation, the charity arm of USDC issuer Circle. The UN Development Programme (UNDP) and the World Food Programme (WFP) announced the plans on 25 September 2026. The aim is to get money to people in crisis zones faster, more transparently and at lower cost.
Key takeaways
- UNDP will set up a "Digital Asset Innovation Pool" to move stablecoin payments from pilots into regular programmes.
- WFP will build the systems needed to test stablecoin payments in two to three country corridors over the next three years.
- UNDP has already run pilots in Syria, Haiti, Guatemala and The Gambia.
- Grant amounts were not disclosed.
- The plans use "regulated payment stablecoins", in practice dollar tokens like USDC.
What UNDP will do
The grant lets UNDP create a Digital Asset Innovation Pool. The idea is to take stablecoin payments out of one-off experiments and make them a normal option in development programmes. The pool will provide help with setting up payments, guidance on local rules, safeguards for the people receiving money, and tools to track how well delivery works.
It builds on pilots UNDP ran through its blockchain accelerator for the UN's Sustainable Development Goals. Those included cash-for-work payments in Aleppo, Syria; payments in low-connectivity areas of Haiti; community investment linked to remittances in Guatemala; and mobile wallets paired with cash agents in The Gambia.
What WFP will do
WFP, the world's largest humanitarian agency, is moving more carefully. Its grant pays for the groundwork first: rules for governance, risk controls, treasury management, reconciliation and compliance. Once that is in place, it plans to test stablecoin payments in two to three country corridors over three years, connecting its payments to local financial providers and measuring whether they are faster, cheaper and more reliable.
Elisabeth Carpenter, Circle's chief strategic engagement officer and founding chair of the Circle Foundation, said the goal is to make sure more of every aid dollar actually reaches the people who need it.
Why stablecoins for aid?
Aid money often passes through several banks and money transfer firms before it reaches a family, and each step adds fees and delays. In conflict zones, banks may not work at all. A stablecoin such as USDC moves on a blockchain in minutes, at any hour, and every payment leaves a record that donors can check.
There are real challenges too. Recipients need a phone and a way to turn tokens into local cash, which is why the pilots paired wallets with cash agents. Stablecoin issuers can freeze tokens, which helps stop theft (Circle and Tether froze funds linked to the Bitget hack this week) but also puts control in a private company's hands. And local rules differ from one country to the next.
What it means for India
India does not allow stablecoins as payment, and the RBI has repeatedly warned about them. Its answer to the same problem is direct benefit transfers straight into bank accounts, UPI, and the RBI's own digital rupee pilot. Still, the UN move is part of a wider trend: this month the US Federal Reserve also proposed rules for stablecoin issuers under the GENIUS Act. Stablecoins are becoming part of mainstream payments abroad, whatever India decides.
For Indian investors, USDC and USDT are mainly used for trading. One USDC is worth about ₹95.97 right now; see the USDC price in INR, or read what a stablecoin is for the basics.
FAQ
What is the Circle Foundation?
It is the charitable arm of Circle, the company that issues the USDC stablecoin. It funds projects that use digital payments for social good.
Will aid be paid in USDC?
That is the plan being tested. The agencies speak of "regulated payment stablecoins", and recipients would usually be able to convert them to local cash through agents or mobile wallets.
Can Indians use stablecoins for payments?
No. Stablecoins are not legal tender in India. You can buy and sell them on exchanges, but gains are taxed at 30% like other crypto.
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