Trace Finance has successfully secured $32 million in a Series A funding round led by CoinFund, drawing investments from notable firms including Coinbase Ventures, Jump Capital, and Paxos. This financial infusion is aimed at bolstering the company’s cross-border stablecoin payment solutions.
Where Are the Target Regions for Growth?
Trace Finance, which operates in the realm of stablecoin settlement infrastructure across Latin America, has already processed over $10 billion in transactions. With the new funds, the company plans strategic expansions in critical markets like Latin America, the U.S., and the Asia Pacific region.
By integrating blockchain payments with existing banking systems and foreign exchange networks, Trace Finance enhances its offerings as regulatory frameworks surrounding digital currencies become more defined, attracting significant investments.
Trace Finance stated that it provides banking, FX, and stablecoin settlement solutions for cross border payments throughout Latin America, has processed over 10 billion dollars in transactions, and aims to expand in Latin America, the US, and Asia Pacific with its new funding.
In a previous funding effort, Trace Finance raised $4.3 million through a seed round in 2022 which was led by HOF Capital and supported by Circle Ventures and Mantis VC, marking HOF Capital’s continued support with their participation in this new Series A round.
What Does Regulatory Interest Mean for Stablecoin Settlement?
Stablecoin settlement infrastructure is gaining traction as it navigates an evolving regulatory landscape. Organizations aim to seamlessly integrate blockchain-based payment systems with local banking networks while minimizing costs associated with foreign exchange and optimizing transfer times.
The global discussion on stablecoin regulation intensified after the GENIUS Act, signed by US President Donald Trump in July 2025, spurring other countries to develop their digital asset frameworks. Hong Kong is among those advancing regulations, as seen with its recent issuance of stablecoin licenses following the enactment of the Stablecoin Ordinance in August 2025.
– Integration of blockchain payments with local systems reduces foreign exchange costs.
– Significant regulatory advancements in the US and Hong Kong set new precedents.
– Total stablecoin market valuation is about $315 billion, reflecting its significant role in financial systems.
Interest in stablecoins is equally strong among private entities, as demonstrated by MassPay’s collaboration with Coinbase to introduce a stablecoin-based international payment service, cutting costs and speeding settlements.
Other corporate players like Stripe and Circle are equally advancing their presence in stablecoin infrastructure, showcasing the sector’s rapid development. The stablecoin market’s valuation of approximately $315 billion underscores its growing significance in the global financial architecture.
