The $32M Bet on Boring: How Trace Finance Is Making Stablecoins Work

NEW YORK, NY – June 17, 2026 – In a market often defined by speculative fervor, a different kind of investment narrative is taking shape—one built on rails, regulations, and reliability. Trace Finance, a financial infrastructure company, today announced a $32 million Series A funding round led by CoinFund. The capital injection, supported by a roster of industry heavyweights including Coinbase Ventures, Haun Ventures, and Jump Crypto, isn't for launching a new token or a metaverse platform. It’s for scaling the decidedly unglamorous but essential plumbing required to connect digital assets with the global banking system.

This funding signals a pivotal maturation in the digital asset space. The focus is shifting from the assets themselves to the infrastructure that can unlock their utility. Trace Finance’s mission is to bridge the instantaneous, global nature of stablecoins with the trusted, regulated, but often sluggish, world of local banking. As the company’s CEO and co-founder, Bernardo Brites, puts it, “Stablecoins alone do not solve cross-border payments. Stablecoins plus regulated local bank infrastructure does.” It’s a thesis that has now attracted significant institutional backing, aimed at expanding a model proven in one of the world's most challenging financial environments.

The Regulatory Moat

Trace Finance cut its teeth by building a financial bridge between the U.S. and Brazil, a market notorious for its complex foreign exchange (FX) and compliance requirements. By processing over $10 billion in institutional cross-border volume in this corridor, the company demonstrated its core value proposition: navigating regulatory complexity is not a hurdle, but a competitive advantage. This strategy is particularly prescient in Brazil, one of the top five global markets for stablecoin adoption, where regulators are actively defining the rules of engagement.

Initially, the Brazilian Central Bank's move to classify virtual asset cross-border flows as foreign exchange operations pushed institutional players away from unregulated crypto channels and toward the kind of bank-grade infrastructure Trace provides. However, the regulatory landscape remains fluid. A recent resolution, set to take effect, aims to prohibit the direct use of cryptocurrencies for settlement within the country's regulated eFX framework, mandating that international transfers ultimately flow through traditional FX channels.

This is precisely where the nuance of Trace’s model becomes critical. Rather than being a setback, such regulations reinforce the need for a hybrid system. The company’s “regulated financial layer” isn’t about replacing the banking system; it’s about integrating with it. Trace operates with the necessary licenses in the U.S. and Brazil, and through partner banks elsewhere, to manage the fiat-to-stablecoin and stablecoin-to-fiat conversions in a fully compliant manner. Stablecoins are used for the rapid, efficient middle-mile of the transaction, while the on- and off-ramps interface seamlessly with local payment rails like Brazil’s Pix and adhere to the final settlement rules dictated by central banks. This ability to operate within the lines, no matter how much they shift, is the moat that sets it apart.

Brazil as a Blueprint for Global Expansion

Success in Brazil has provided Trace Finance with more than just revenue; it has delivered a battle-tested blueprint for entering other complex emerging markets. The country’s demanding environment forced the company to build a robust and adaptable stack combining local payment connectivity, rigorous compliance operations, and deep banking integrations. Having built for the hardest case first, the company is now positioned to replicate its model across Latin America, the U.S., and the Asia-Pacific (APAC) region.

The demand is undeniable. For businesses in emerging economies, traditional cross-border payments are a persistent bottleneck, fraught with high fees, opaque processes, and settlement delays that can span several days. Stablecoins offer a compelling alternative, enabling near-instant settlement and improved liquidity management. Recent industry data shows that B2B stablecoin payments have exploded, and in Latin America, a significant majority of firms already use them for cross-border transactions. Trace Finance provides the institutional-grade gateway for this activity, serving as the main provider for top global payment companies operating in the region, including dLocal.

With the new funding, the company plans to establish a presence in Mexico, Colombia, and Argentina. It is also setting its sights on APAC, with a planned office in Singapore to serve as a hub for expansion into key markets like Hong Kong, Japan, and South Korea. This strategic expansion is not just about planting flags; it's about extending a proven infrastructure that solves a universal pain point for global enterprises.

A Maturing Investor Thesis: From Hype to Infrastructure

The composition of Trace Finance’s Series A investors speaks volumes about the evolving sentiment in venture capital. The participation of crypto-native funds like CoinFund and Coinbase Ventures alongside more traditional VCs signifies a convergence around a new thesis: the long-term value in digital assets lies in their integration into the real-world economy. This is a bet on financial plumbing, not speculative price action.

“The next phase of global money movement will be won by companies that can bridge onchain settlement with trusted local banking systems,” noted Einar Braathen, a Partner at lead investor CoinFund. This perspective is echoed across the investor base. They see a company that has already proven its ability to save global blue-chip businesses time and money compared to legacy alternatives in a difficult market. The investment is an endorsement of a business model that embraces regulation to build trust and scale.

The backing extends beyond institutions. The inclusion of strategic angel investors like Sean Neville, co-founder of stablecoin issuer Circle; Anatoly Yakovenko, co-founder of Solana Labs; and Ricardo Villela Marino, a partner at Latin America’s largest bank, Itaú Unibanco, underscores deep confidence from every corner of the ecosystem—from the architects of the stablecoins themselves to the titans of the traditional banking world they aim to connect with. This diverse coalition is betting that Trace Finance is building the essential, regulated bridges that will carry trillions of dollars in value in the coming years.