Trace Finance announced that it has raised $32 million in Series A funding to expand its regulated financial infrastructure for cross-border payments and stablecoin settlement. The round was led by CoinFund, with participation from Coinbase Ventures, Haun Ventures, Jump Crypto, Valor Capital, Paxos, HOF Capital, and others. Strategic backers in the round also included Chainlink Labs and SNZ Capital.
Trace Finance provides a regulated infrastructure that connects global stablecoin liquidity with local banking systems across complex and high-growth markets. The company supports cross-border payments, banking connectivity, foreign exchange, compliance operations, Pix connectivity, and stablecoin-enabled settlement.
The company has processed more than $10 billion in institutional cross-border volume and said it is the main provider for the top four global payment providers operating in Latin America, including dLocal.
Trace Finance initially built its infrastructure around the corridor connecting the U.S. and Brazil. The company said Brazil served as a proving ground because it is one of the world’s leading markets for stablecoin infrastructure and has complex foreign exchange and compliance requirements.
Brazil has classified virtual asset cross-border flows as foreign exchange operations, which has shifted institutional activity toward regulated, bank-grade infrastructure. Trace Finance said this regulatory environment aligns with its model of combining stablecoin settlement with local banking rails.
The company plans to use the funding to scale transaction capacity, deepen product capabilities across FX, bank connectivity, compliance, and stablecoin settlement, and expand its regulated footprint across Brazil, the United States, APAC, Latin America, and other priority jurisdictions.
Trace Finance is also developing new settlement products built on its regulated banking infrastructure. These products are intended to further connect local financial systems in Brazil and Latin America with global stablecoin liquidity.
The Series A follows Trace Finance’s 2022 seed round, which was led by HOF Capital with participation from Circle Ventures, Mantis VC, and others.
The funding also included support from founders and operators across the stablecoin, payments, and banking sectors, including Sean Neville, co-founder of Circle; Anatoly Yakovenko, co-founder of Solana Labs; Bam Azizi, co-founder and CEO of Mesh; and Ricardo Villela Marino, Partner and Vice Chairman of Itaú Unibanco.
KEY QUOTES:
“Stablecoins alone do not solve cross-border payments. Stablecoins plus regulated local bank infrastructure does. This round lets us deepen the banking, payments, and compliance infrastructure that global fintechs, exchanges, international banks and enterprises rely on to bridge digital settlement with trusted local financial systems. We built Trace bridging the U.S. to Brazil and are now extending that infrastructure across LatAm and other emerging markets.”
Bernardo Brites, Co-Founder and CEO of Trace Finance
“The next phase of global money movement will be won by companies that can bridge onchain settlement with trusted local banking systems. Brazil is one of the largest and most operationally complex payment environments in the world, and Trace has built the regulated infrastructure that global blue-chip businesses are using to scale, while saving time and costs compared to legacy alternatives.”
Einar Braathen, Partner at CoinFund
