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Three of Africa’s most prominent fintech firms, Flutterwave, Onafriq (formerly MFS Africa), and Yellowcard, have joined the newly launched Circle Payment Network (CPN), a blockchain-powered system.
The network, unveiled by USDC issuer Circle on April 21, 2025, brings together 28 financial institutions across the world. Built on a hybrid model that processes transactions off-chain but settles them using blockchain, CPN promises near-instant, low-cost cross-border payments.
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For African financial technology firms operating in a continent known for fragmented payment corridors and high remittance costs, the development marks a pivotal moment in accelerating digital finance.
The inclusion of Flutterwave and Onafriq, both leading forces in pan-African payments, signals a shift in how the continent is approaching global money movement. These fintechs now gain access to a regulated alternative to traditional rails such as SWIFT, with Circle’s stablecoin-backed system offering faster settlements, reduced compliance friction, and transparent recordkeeping via blockchain.
CPN allows institutions to transact in USDC or EURC using simple APIs, with plans for a full transition to smart contracts. This will automate core functions like foreign exchange (FX) conversions, transaction reconciliation, and fee settlement. It also positions Circle as both the referee and operator of a new kind of interoperable financial layer one designed to compete directly with legacy banking infrastructure.
Cross-border trade and remittances have for a long time been plagued by inefficiencies in Africa. Intra-African money transfers often require multiple intermediaries, pushing fees above global averages.
Integrating stablecoin infrastructure directly into their systems, Flutterwave and its counterparts are betting on a faster, cheaper, and it also enables smart contract automation.
With stablecoin-based foreign exchange now on the horizon, fintechs can settle transactions without relying on slow correspondent banking networks. The shift also aligns with recent regulatory movements across Africa, where governments are showing greater openness to sandbox regimes and digital asset frameworks.
Africa’s unique challenges including currency volatility, underbanked populations, and uneven infrastructure make stablecoin-powered networks an attractive alternative.
Beyond speed and cost, CPN also brings a layer of compliance crucial for scaling operations. The network supports identity-verified transactions, enabling African firms to remain aligned with international anti-money laundering (AML) and know-your-customer (KYC) standards without sacrificing agility.
For a continent often left out of global financial experiments, the adoption of blockchain-powered payment rails by firms like Flutterwave and Onafriq is a powerful indicator of digital maturity. It also reflects a growing resolve among African innovators to not just adapt to global systems but help shape them.
