Circle Backs $20M Blockchain Fund to Support African Startups

Circle, the company behind the USDC stablecoin, announced that it will support a $20 million Circle blockchain fund created by CV VC. The fund will help early-stage startups in Africa that work on payments and data infrastructure. With this move, Circle shows clear intent to grow stablecoin use across the continent and give young companies the capital they need to scale.

Why Africa Attracts Circle’s Attention

Africa faces problems such as unstable currencies, high remittance costs, and limited access to banks. These problems create a need for digital solutions. Circle believes that stablecoins can offer a reliable way to handle money in such conditions.

In many African countries, people already use stablecoins to avoid losing value when local currencies weaken. In addition, stablecoins make cross-border payments faster and cheaper. Because of these benefits, the region has become one of the fastest-growing markets for digital finance.

Stablecoins Gain Popularity

Stablecoins like USDC are not just tools for traders. They are also becoming useful for small shops, online merchants, and freelancers. Many people now use them daily to send and receive payments. This trend makes Africa a natural fit for Circle’s expansion.

Gillian Darko, Vice President of Strategy at Yellow Card, explained this point:
“2025 will be the year of stablecoins. They solve real-world problems by protecting businesses from currency swings and giving them easier access to USD.”

Her statement highlights why Circle sees Africa as a key market for growth. The Circle blockchain fund will push this trend further by supporting startups that create user-friendly payment apps and financial tools.

Circle’s Broader Strategy

Circle’s backing of CV VC’s fund fits into its bigger global strategy. The company wants USDC to be seen as more than just a crypto coin. By helping regions where stablecoins solve real needs, Circle strengthens both adoption and trust.

This approach also improves Circle’s image with regulators. Policymakers are more likely to support digital money that boosts financial inclusion rather than one that serves only speculation. Because of this, Circle’s presence in Africa may help shape global conversations about the role of stablecoins.

CV VC’s Role in the Ecosystem

CV VC brings experience in supporting blockchain startups. The firm invests in early projects and connects them with partners and mentors. By running the $20 million fund, CV VC ensures that new companies in Africa get the tools they need to succeed. Circle’s support adds credibility and global reach, which makes the fund stronger.

Together, Circle and CV VC aim to create a wave of innovation across Africa. This could lead to cheaper remittances, better financial apps, and more stable digital payments.

What This Means for Africa

The impact of the Circle blockchain fund could be big. More startups will get funding, more users will gain access to stablecoins, and more businesses will be able to trade in digital USD. These changes will reduce reliance on unstable local currencies and make payments smoother across borders.

If the fund achieves its goals, Circle will not only grow USDC’s user base but also help shape Africa’s digital economy. The results could inspire similar efforts in other emerging markets.

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