Paradigm has led a roughly $9 million funding round in El Dorado, a payments application built around stablecoins and designed for Latin American users. The investment underscores growing interest in digital-dollar tools for a region where currency volatility and limited banking access are common challenges.
The investment and the app
El Dorado offers a mobile platform that lets people send and receive money using stablecoins — cryptocurrencies pegged to a stable asset, typically the U.S. dollar. The app is aimed at everyday payments, from remittances to business transactions, in markets where stablecoins can serve as a reliable alternative to local currencies.
Paradigm, the crypto-focused investment firm, led the round. The size of the investment — roughly $9 million — was disclosed by the companies. El Dorado has not revealed its total funding to date or valuation. The company did not immediately respond to a request for comment.
Stablecoins in Latin America
Latin America has seen a surge in stablecoin adoption over the past few years. In countries like Argentina, Venezuela, and Colombia, where inflation has eroded purchasing power and traditional banking infrastructure is patchy, stablecoins offer a way to store value in dollars and move money across borders quickly and cheaply.
El Dorado's app taps into that demand. It allows users to deposit local currency, convert it to a stablecoin, and then send or spend the digital dollar. The company says it focuses on making the process simple and low-cost, though specific fees and features were not detailed in the announcement.
The funding round comes as venture capital flows into crypto startups remain cautious after a market downturn. Paradigm, which has backed major crypto projects including Uniswap and Optimism, appears to be betting that stablecoin-based payments can gain traction in emerging markets where the need is greatest.
El Dorado has not disclosed its user numbers or which countries it operates in. The company says it plans to continue building its product and expanding its presence across the region.
