Circle advances UN stablecoin payment upgrade, USDC accelerates humanitarian aid and the implementation of Bermuda's "full-chain economy"

January 22 News, stablecoin issuer Circle announced during the World Economic Forum in Davos, Switzerland, that it will make a donation to the United Nations to support the modernization of its internal payment systems. The goal is to make the flow of humanitarian aid funds faster, lower-cost, and more transparent. The funds will be injected into the United Nations Digital Finance Solutions Center (DHoTS) to upgrade its global fund transfer infrastructure. Circle did not disclose the specific amount.

This initiative builds on an existing partnership. As early as 2022, Circle collaborated with the United Nations High Commissioner for Refugees (UNHCR) and DHoTS to distribute USDC stablecoins as aid to Ukrainians displaced by war, marking the first large-scale humanitarian use of stablecoins. UNDP Administrator Alexander De Croo pointed out that, in the context of tight budgets, digital payments can significantly improve the efficiency of fund utilization and avoid delays and high costs associated with traditional banking systems.

Circle data shows that approximately $38 billion in humanitarian funds flow annually through inefficient traditional channels, often accompanied by slow settlement and lack of transparency. Blockchain-based stablecoin payments can reduce friction while enhancing accountability. High Commissioner for Refugees (UNHCR) Barham Salih also emphasized that new technology is not only an efficiency tool but also helps maintain the dignity and choices of forcibly displaced persons.

The trend of applying stablecoins in the public sector is expanding. The Circle Foundation, established in December last year, has made inclusive finance and social resilience its core mission. Meanwhile, Bermuda announced in Davos a partnership with Circle to advance the “Full Chain Economy” plan, utilizing USDC denominated in USD and blockchain settlement methods to optimize government and corporate payment systems, alleviating high costs and limited banking services.

As the stablecoin market size exceeds $300 billion, USDC is rapidly expanding its applications in cross-border payments, commercial settlements, and public finance. Circle’s latest actions with the UN and Bermuda demonstrate that stablecoins are gradually moving from crypto industry tools to becoming central to global finance and public service systems.