Y Combinator Enable Startups Funding in Stablecoins

Y Combinator (YC), a leading startup accelerator, has decided to allow startups to receive funding in USDC stablecoins starting with the Spring 2026 batch. Interestingly, this is the first time YC has offered payments in stablecoin. As such, the move reflects increased acceptance of blockchain technology in mainstream venture capital.

Y Combinator Plan Will Bring Lots of Benefits 

The USDC payout option will be available to all YC-funded startups, not just those focused on cryptocurrency or blockchain. Importantly, this new choice does not change the amount of funding, valuation terms, or deal structure. Instead, it simply provides founders with another way to receive capital.

Nemil Dalal, a visiting partner at Y Combinator, explained that using stablecoins has clear advantages over traditional banking. He noted that USDC transactions usually cost less than one cent and can be completed in under one second, even for international transfers. 

Meanwhile, YC plans to enable USDC payouts on major blockchain networks, including Ethereum, Base, and Solana. This option is useful for founders in areas where access to US dollar banking is limited or unreliable.

Undoubtedly, this decision reflects a growing trend of institutional adoption of stablecoins for payments, treasury management, and international transactions. Unlike volatile cryptocurrencies, USDC is tied to the US dollar, making it a stable choice for startups that need price stability. 

Western Union Pilot Stablecoin-Based Settlement System

Last year, Western Union announced a new pilot program that will use stablecoin-based settlement systems to modernize its global remittance operations. This change will enhance the speed, cost-effectiveness, and transparency of money transfers for its over 150 million customers worldwide.

This announcement came a few months after the financial giant first hinted at plans to incorporate stablecoins into its operations. Recall that the company initially stayed away from cryptocurrencies due to concerns over volatility, regulatory uncertainty, and customer protection.

However, the recent passage of the GENIUS Act, which provides clearer regulatory guidance for digital assets, encouraged the company to move forward.

China Forges Ahead With the Use of Stablecoin

Similarly, China’s state-owned energy company, PetroChina, has set its sights on stablecoins for settling cross-border energy trades. As reported by TheCoinRise, PetroChina’s Chief Financial Officer stated that the company will utilize stablecoins for international payments.

No doubt, this effort simplifies and modifies cross-border transactions while decreasing dependence on traditional banks. China’s State Council has also announced its plan to allow the use of yuan-backed stablecoins.