Stablecoin issuer Circle has partnered with Onafriq, Africa\u2019s largest payments gateway, to reduce the high cost of cross-border payments across the continent using USDC.<\/p>\n
According to a press release shared with Cointelegraph, Circle aims to pilot USDC (USDC<\/a>) settlements within Onafriq\u2019s vast network, which connects over 500 wallets and 200 million bank accounts in more than 40 countries.<\/p>\n \u201cBy integrating USDC, we aim to simplify financial transactions for institutions and individuals, reduce costs and strengthen trust,\u201d Onafriq founder and CEO Dare Okoudjou said.<\/p>\n He added that the integration of USDC will simplify transactions and boost trust in digital financial services.<\/p>\n Currently, over 80% of intra-African transactions are routed through correspondent banks outside the continent and settled in foreign currencies like the US dollar or euro. This results in approximately $5 billion in fees annually.<\/p>\n Related:\u00a0<\/strong><\/em>Circle files for Initial Public Offering planned for April<\/strong><\/em><\/a><\/p>\n Miriam Kiwan, the vice president at Circle responsible for the Middle East and Africa, said Africa holds tremendous potential for digital asset innovation, particularly in the adoption of stablecoins for cross-border payments<\/a>.<\/p>\n \u201cTogether, we aim to transform how money moves across borders, offering secure and transparent digital payment rails that enhance economic empowerment and connectivity,\u201d Kiwan said.<\/p>\n Rising stablecoin usage across the<\/em> globe. Source: <\/em>Stablecoins: The Emerging Market Story 2024<\/em><\/a><\/p>\n By October 2024, stablecoin transactions accounted for approximately 43%<\/a> of the Sub-Saharan African region\u2019s total transaction volume, according to Chainalysis.<\/p>\n At the time, Eric Jardine, cybercrimes research lead at Chainalysis, associated the rise in stablecoin transaction volume in the region with currency devaluation.<\/p>\n The Nigerian naira has been the worst-performing<\/a> African currency, depreciating by over 100% in 2024.<\/p>\n Related:\u00a0<\/strong><\/em>Circle executive denies claims of seeking US banking license<\/strong><\/em><\/a><\/p>\n The collaboration also comes amid Circle\u2019s global strategy of expanding USDC adoption.<\/p>\n On April 21, 2025, Circle launched<\/a> the Circle Payments Network (CPN), a consortium of financial institutions aiming to streamline global fund movement and settlement using stablecoins.<\/p>\n The network already includes over 20 partners, such as World Remit, Yellow Card, and Fireblocks, with advisory support from major banks like Standard Chartered and Deutsche Bank.<\/p>\n The initiative is designed to address inefficiencies in traditional cross-border payments. CPN will support various use cases, including remittances, payroll, treasury and invoice payments.<\/p>\nAfrica has huge potential for stablecoins<\/h2>\n
Circle pushes for global expansion<\/h2>\n