The Stabila Foundation has launched a new initiative to drive stablecoin adoption in the Celo ecosystem, aimed at incentivizing real-world use cases for the network.
Blockchain ecosystem Celo (CELO) has welcomed a new fund aimed at expanding the adoption and use of stablecoins on its network.
According to a press release on August 28th shared by crypto.news, the Stabila Foundation, funded by the Celo community, aims to improve the financial stability of the ecosystem by promoting the real utility of stablecoins, especially in emerging markets such as Africa, Latin America, and Southeast Asia.
“We aim to achieve these goals by working closely with stablecoin issuers, ecosystem applications, infrastructure partners, merchants, and everyday users.”
Stabila Foundation
In addition to the Celo community, the foundation has secured support from Allbridge Core, Angle Labs, and the Wormhole Foundation.
Celo Aims for More Stablecoin Activity
The fund will focus its resources on providing incentives for stablecoin liquidity pools, supporting educational campaigns, and supporting projects that align with its mission. By partnering with stablecoin issuers, the fund aims to increase transaction volumes and user growth on Celo, positioning it as the leading stablecoin platform, according to the press release.
Celo already supports major stablecoins such as (USDT) and (USDC), which together make up over 85% of the stablecoin market. However, the foundation aims to expand the ecosystem even further by encouraging the use of a variety of local currency stablecoins, including stablecoins from Mento Labs, Angle Labs, and BRLA Digital.
According to DefiLlama, the total market cap of stablecoins on the Celo network is $337.57 million, with USDT Tether accounting for over 75% of the market.
Commenting on the fund’s launch, Paul Kremski, global head of business development at Cumberland, noted that stablecoins have become a “killer use case for blockchain,” emphasizing that expanding stablecoins beyond the U.S. dollar is “an important effort to expand this infrastructure globally, including to regions that are severely underserved by traditional banking services.”
