Circle and Near Bet Big on Indian Diaspora with $14M Remittance App

In the ever-evolving landscape of financial technology, Circle and Near have made a bold move by investing $14 million in a remittance app tailored for the Indian diaspora. This strategic investment is not just a financial play; it's a testament to the transformative power of technology in bridging the gap between migrants and their families back home. Let's dive into the significance of this investment and its potential to reshape the remittance market.



The remittance market has long been a lifeline for millions of families worldwide, providing financial support and stability. In 2023, a staggering $857 billion was sent in remittances, with low- and middle-income countries receiving $656 billion. India, in particular, has been the largest recipient of remittances since 2008, with an estimated $129 billion in 2024. This inflow underscores the crucial role of remittances in the Indian economy, providing financial stability and reducing reliance on external borrowing.

The investment by Circle and Near aligns perfectly with the current trends in the remittance market. The digital remittance market grew from $148.08 billion in 2023 to $166.60 billion in 2024, with a projected CAGR of 12.60% reaching $339.87 billion by 2030. This growth is driven by technological advancements, mobile penetration, and financial inclusivity surging among the unbanked population. By investing in a remittance app, Circle and Near are capitalizing on the increasing mobile penetration and the growing demand for digital financial services among the unbanked population.

Moreover, the investment leverages the increasing use of blockchain technology in the remittance market. Blockchain offers transparent, tamper-proof transactions, enhancing security and efficiency. For instance, remittances sent via mobile operators account for less than 1% of all transfer volume but remain the cheapest channel, with an average cost of 4.4% during the fourth quarter of 2023. This highlights the potential for digital innovation to reduce costs and improve accessibility.

The strategic advantages of this investment for Circle and Near are manifold. Firstly, it taps into a robust and growing market, leveraging the resilience of India’s expatriates and favorable global conditions. Secondly, it aligns with Circle’s open developer platform, which makes it faster, easier, and safer to tap into the global reach of the blockchain. This platform can be leveraged to develop smart contracts, APIs, and SDKs designed to get remittance services off the ground quickly and securely.

Furthermore, the investment enhances Circle’s asset management capabilities. By closely monitoring the strategic plans for each property and continuously analyzing macro and microeconomic factors, Circle can identify the correct time for asset disposition or refinancing, maximizing capital preservation and appreciation. This approach ensures that the investment in remittances not only provides strong cash flow but also capital appreciation, aligning with Circle’s investment criteria of targeting properties in high-growth areas with strong employment and a growing population.

In conclusion, the $14 million investment by Circle and Near in a remittance app for the Indian diaspora is a strategic move that aligns with the current trends in the remittance market. It leverages technological advancements and mobile penetration to provide a more efficient, secure, and cost-effective remittance solution for the Indian diaspora. This investment not only offers strategic advantages to Circle and Near but also has the potential to transform the remittance market, making it more accessible and affordable for millions of families worldwide.