14 Years After Incubating Coinbase, YC Finally Decides to Issue Investment Funds in USDC
Y Combinator (YC), the renowned startup accelerator behind companies like Airbnb, Stripe, and Coinbase, announced on February 3 that, starting from the Spring 2026 batch, it will offer its startups the option to receive their $500,000 investment in USDC stablecoin. This marks the first time YC has officially introduced a stablecoin payment method for its investments.
The decision follows the U.S. GENIUS Act passed in July 2025, which established a federal regulatory framework for stablecoins, requiring 1:1 reserve backing and granting holders redemption rights. This regulatory clarity has removed a major barrier to institutional adoption of cryptocurrencies.
YC's move is significant because it signals a shift from being a crypto investor to an active participant using stablecoins in its core operations. Benefits include near-instant, low-cost transactions, especially beneficial for international startups in regions like India and Latin America, where traditional banking can be slow and expensive.
YC specifically selected USDC due to its U.S.-based issuer, Circle, and regulatory compliance. The accelerator will support USDC on Ethereum, Base, and Solana blockchains. While crypto-native VCs have used stablecoins before, YC’s standardized integration into its process for all startups—not just crypto projects—represents a major step for mainstream venture capital.
This shift reflects broader trends: 90% of financial institutions are integrating stablecoins, which saw $46 trillion in transaction volume in 2025. YC continues to seek founders in areas like stablecoin applications, tokenization, and on-chain ventures through its Fintech 3.0 initiative.
marsbit02/05 06:33
