Circle Backs UN’s DHoTS to Advance Digital Finance for Humanitarian Aid

The initiative, unveiled at the World Economic Forum in Davos, extends earlier USDC work for displaced Ukrainians to streamline $38 billion in annual aid transfers.

USDC

Summary

Circle has announced its first international grant to support the United Nations’ Digital Humanitarian Trust System (DHoTS), a project aiming to deploy global digital finance infrastructure for humanitarian aid. The announcement was made at the World Economic Forum in Davos and builds on Circle’s 2022 USDC-based initiative that provided aid to displaced Ukrainians. The effort is designed to improve efficiency in managing the $38 billion provided annually for humanitarian assistance worldwide.

Terms & Concepts
  • USDC: A U.S. dollar-pegged stablecoin used for fast, low-cost digital payments on blockchain networks.
  • DHoTS (Digital Humanitarian Trust System): A United Nations initiative to use digital finance infrastructure for more efficient global humanitarian aid delivery.
  • Stablecoin: A cryptocurrency designed to maintain a stable value by being pegged to a reserve asset such as a fiat currency.