The United Nations is moving blockchain-based aid payments in development programs from the testing phase to the implementation process. The system aims to support humanitarian aid distribution and remittance flows through digital payments running on the Stellar network.
Review in 17 countries, active application in 5 regions
UNDP, the United Nations Development Programme, is running active pilots in Haiti, Syria, Kenya, Guatemala and Gambia. These efforts are used to directly deliver aid payments and receive money transfers in some regions. In the next phase, the institution plans to connect the system with more than 170 local UNDP representations and country programs.
Mini dictionary: UNDP is the United Nations’ development program working in the areas of poverty alleviation, development finance and institutional capacity. Stellar, on the other hand, is an open source blockchain network used for cross-border payments and digital asset transfers with low transaction costs and short confirmation times.
Within the scope of the program, various investigations are carried out in 17 countries. The five pilot applications currently running show that the initiative has left the testing phase behind and turned into a model used in the field. The planning envisages that by 2026, the XLM network will take on a broader role in the humanitarian financing infrastructure.
The United Nations is growing digital payments on Stellar. While the research has spread to 17 countries, five active pilots are ongoing in Haiti, Syria, Kenya, Guatemala and Gambia.
Why Stellar network was chosen
UNDP, Stellar Development Foundation, local non-governmental organizations and regional payment gateways are involved in the process. The choice of Stellar was due to its low transaction fees, completion of payments within 3 to 5 seconds, and support for the issuance of assets with stablecoins at the network level.
On the enterprise side, this development increases Stellar’s visibility as an open blockchain used for real-world payments. Developers, on the other hand, point out the need for standards-compliant wallets, KYC and AML tools, and the issuance of new stablecoins on the Stellar network.
| Title | Detail |
|---|---|
| Number of countries examined | 17 |
| Number of active pilots | 5 |
| Targeted UNDP offices | 170+ |
| Processing time | 3 to 5 seconds |
Scope of implementation and outstanding challenges
New fiat money entry and exit channels may emerge in emerging markets for exchanges and institutions providing custody services. For institutions and investors, auditable and transparent aid flows offer a concrete use case for digital asset payments. Regulators can also more closely monitor on-the-ground examples of supervised digital asset payments.
However, issues such as compliance with local legislation, internet access and liquidity are among the main challenges facing the process. If Stellar-based payment infrastructure is rolled out on a larger scale to UNDP offices, a common standard for digital payments within the United Nations could emerge. Such a step may be followed by other institutions in the future.
Compliance with local laws, internet access and liquidity are among the main challenges. In contrast, extending the network across UNDP offices could create a common framework for UN digital payments.
The development comes at a time when multinational organizations are increasingly turning to blockchain solutions for financial inclusion towards 2026. This trend is based directly on value-in-use rather than price movements, unlike previous retail-focused cycles.
