Trace Finance, a company building regulated infrastructure that connects local bank rails with stablecoin settlement, has raised $32 million in a Series A funding round led by CoinFund. The round also drew Coinbase Ventures, Haun Ventures, Jump Crypto, Valor Capital, Paxos, HOF Capital, Chainlink Labs, SNZ Capital, and a group of strategic angel investors — a sign that the stablecoin sector is maturing beyond issuance into distribution and utility for enterprise use cases.
What Trace Finance does
The company's platform lets businesses move money across borders by linking domestic payment systems — like Brazil's Pix — with stablecoin settlement rails. Trace handles local compliance, bank-grade controls, and the fiat-to-stablecoin conversion on both ends. The result: cross-border payments that settle in hours instead of days, without forcing recipients to deal with crypto directly.
Trace says it has processed over $10 billion in cross-border volume. That figure is self-reported and not independently audited, but it gives a sense of the company's traction since launching.
The US-to-Brazil corridor as a proving ground
Trace's initial market was the United States-to-Brazil corridor. Brazil's Pix system, which processes billions of real-time payments every month, became a natural on-ramp for stablecoin-based settlement. The company now plans to expand into other emerging markets, including APAC, where similar real-time payment infrastructure exists or is being built.
The timing is telling. Stablecoin transaction volumes have climbed sharply throughout 2026, and companies that build the pipes — not just the tokens — are drawing serious capital. This round suggests VCs see a clear market for regulated, bank-grade stablecoin infrastructure that serves payroll, vendor payments, and treasury management, not just speculative trading.
Who's betting on the thesis
CoinFund led the round, but the investor list is a who's-who of crypto and fintech. Coinbase Ventures and Haun Ventures represent the crypto-native side; Jump Crypto and Paxos bring deep stablecoin experience; Valor Capital and HOF Capital add Brazil and cross-border fintech expertise. The participation of Chainlink Labs, which powers much of the decentralized oracle space, hints at potential future integrations for data and verification.
That mix of investors — exchange, venture, trading, stablecoin issuer, oracle — shows the deal was structured to pull in partners across the ecosystem. It's not just about the check; it's about the network effects each backer can bring.
Trace has not announced any specific regulatory authorizations tied to this round. The company describes its infrastructure as “regulated,” but the facts don't specify which jurisdiction's regulator has signed off. That will be a detail to watch as it moves into new markets.
What's next: Trace says it will use the capital to expand its team, deepen compliance capabilities, and launch in APAC markets. No timeline was given, but the region's fragmented payment systems — from India's UPI to Singapore's PayNow — offer the same kind of opportunity that Pix did in Brazil.
