KEY FACTS: Circle, the issuer of the USDC stablecoin, has awarded a grant through its newly established Circle Foundation to the United Nations to integrate regulated stablecoins and digital financial infrastructure into humanitarian aid delivery, aiming to modernize cross-border payments, cut costs by up to 20%, enhance transparency, and maximize the impact of the roughly $38 billion in annual global aid funds often hampered by legacy systems. This initiative, announced on January 21, 2026, during the World Economic Forum in Davos, supports the UN’s Digital Hub of Treasury Solutions (DHoTS) for faster, more secure value transfers across the UN ecosystem. It builds on a successful 2022 pilot with the UN Refugee Agency (UNHCR) that used USDC to provide direct cash assistance to displaced Ukrainians via digital wallets.

---

Image source: Circle

---

UN Partners with Circle to Deploy USDC Stablecoins in Humanitarian Aid

The United Nations has received a significant grant from Circle, the issuer of the USDC stablecoin, to advance the integration of digital financial infrastructure, including regulated stablecoins, into its humanitarian aid operations. This initiative, announced during the World Economic Forum's Annual Meeting in Davos, Switzerland, on January 21, 2026, aims to modernize the delivery of cross-border aid, reduce costs, boost transparency, and make every donor dollar stretch further in supporting vulnerable populations, particularly refugees and displaced persons.

The grant, issued through the newly established Circle Foundation, will directly support the UN’s Digital Hub of Treasury Solutions (DHoTS). DHoTS is tasked with streamlining monetary value transfers across the entire UN ecosystem, enabling faster, more secure, and real-time access to financial systems and markets worldwide. While Circle did not disclose the exact amount or specific form of the grant, the funding marks the Circle Foundation's first major international philanthropic effort since its launch in December 2025.

This collaboration builds on a successful prior partnership between Circle and the United Nations Refugee Agency (UNHCR), in coordination with DHoTS, dating back to 2022. In that initial project, USDC stablecoin was used to deliver direct cash assistance to displaced Ukrainians affected by the ongoing war. Recipients accessed funds via digital wallets on smartphones, bypassing many inefficiencies of traditional banking channels in crisis zones. The pilot demonstrated how blockchain-based solutions could provide rapid, traceable aid while preserving dignity and choice for those forced to flee their homes.

Humanitarian aid represents a massive global operation, with more than $38 billion in funds distributed annually. However, much of this relies on legacy financial systems that are often slow, costly, and prone to friction in cross-border transfers. Circle highlights that digital financial infrastructure, particularly regulated stablecoins like USDC, has the potential to cut program costs by up to 20% based on UNHCR's blockchain-based banking pilots. These savings could significantly amplify the impact of aid, allowing more resources to reach beneficiaries directly rather than being absorbed by administrative overhead or intermediary fees.

Alexander De Croo, Administrator of the United Nations Development Programme (UNDP), emphasized the importance of this shift in an era of constrained budgets, stating that stablecoin payments would enable the UN to 'make every dollar work harder. He further noted that modern humanitarian finance demands modern infrastructure. The incorporation of regulated stablecoins (with built-in compliance, risk management, and AI-enabled controls) will enable the UN to achieve faster disbursements, full traceability, stronger accountability, and greater inclusivity while respecting data protection, monetary sovereignty, and long-term community resilience.

Barham Salih, the UN Refugee Agency High Commissioner, described the initiative as a way to leverage technology for greater dignity and efficiency. Salih furthered that UN is seekig to use technology to uphold dignity and choice for people forced to flee, while maximizing impact for every dollar entrusted to us.

The announcement aligns with the growing role of stablecoins in global payments and financial inclusion. The stablecoin market has expanded to a capitalization of approximately $312.7 billion, serving not only as a tool for everyday transactions and business settlements but also as a reliable savings vehicle in regions with volatile local currencies. Industry analysts, including those from Bloomberg Intelligence, project explosive growth in stablecoin payment volumes, forecasting a compound annual growth rate of 81% that could see flows reach $56.6 trillion by 2030.

Circle's philanthropic push through the Circle Foundation stems from its Pledge 1% equity commitment, channeling resources toward financial resilience and inclusion worldwide. In addition to supporting UN efforts, the foundation has backed projects in regions like Venezuela (routing nearly $18 million to healthcare workers during the COVID-19 crisis) and through competitions that highlight innovative uses of USDC for climate and economic resilience in places like Nepal, Kenya, and Cambodia.

This partnership unveils deeper, the convergence of cryptocurrency technology with traditional humanitarian systems to address longstanding inefficiencies. As humanitarian needs continue to rise amid conflicts, climate crises, and economic instability, innovations like these may prove essential to ensuring assistance reaches those who need it most, when they need it most.

---

Information Sources:

• UN HCR
• Nasdaq
• Cointelegraph

---

---

If you found the article interesting or helpful, please hit the upvote button and share for visibility to other hive friends to see. More importantly, drop a comment below. Thank you!

This post was created via INLEO. What is INLEO?

INLEO's mission is to build a sustainable creator economy that is centered around digital ownership, tokenization, and communities. It's built on Hive, with linkages to BSC, ETH, and Polygon blockchains. The flagship application, Inleo.io, allows users and creators to engage & share micro and long-form content on the Hive blockchain while earning cryptocurrency rewards.

---

---

Let's Connect

Hive: inleo.io/profile/uyobong/blog

Twitter: https://twitter.com/Uyobong3

Discord: uyobong#5966

---