Daily News 19

Tag: Series A funding

  • SBI Group backs payments firm dtcpay in $25 million funding round

    SBI Group backs payments firm dtcpay in $25 million funding round

    Key Highlights

    • Stablecoin payments infrastructure firm dtcpay has formally closed a $25 million Series A round with strategic participation from Japan’s SBI Group.
    • The round was initially anchored by Vertex Ventures Southeast Asia & India, with SBI entering via SBI Ventures Asset and the SBI-NTU-Kyobo Digital Innovation Fund.
    • Dtcpay holds a Major Payment Institution license from the Monetary Authority of Singapore and regulatory approvals across Europe, Hong Kong, Australia, and North America.

    dtcpay Secures $25 Million Series A to Bridge Japanese Capital and Southeast Asian Markets

    Stablecoin payments firm dtcpay announced today the formal completion of its $25 million Series A funding round, marking a significant strategic milestone with the entry of Japan’s financial conglomerate, the SBI Group. The capital raise, which was initially anchored earlier this year by Vertex Ventures Southeast Asia & India, concluded with SBI participating through its investment vehicles SBI Ventures Asset and the SBI-NTU-Kyobo Digital Innovation Fund. Existing investors Genedant Capital and Kwee Liong Tek also maintained their positions in the company, signaling continued confidence in dtcpay’s regulatory-first approach to crypto infrastructure.

    Regulated Infrastructure for Cross-Border Stablecoin Payments

    Dtcpay operates as a licensed payment institution providing essential crypto infrastructure, including asset conversion, custody solutions, and a Visa-linked card that enables holders to spend stablecoins like ordinary cash. The firm holds a Major Payment Institution license from the Monetary Authority of Singapore (MAS), alongside regulatory footprints in Europe, Hong Kong, Australia, and North America. This multi-jurisdictional licensing framework positions dtcpay as a compliant bridge for institutional and commercial stablecoin flows, addressing a critical gap in the current financial plumbing where traditional correspondent banking remains slow and costly.

    Strategic Alignment with SBI Group’s Regional Ambitions

    SBI’s involvement is widely viewed as a strategic move to secure fully regulated pipelines connecting Japanese capital with Southeast Asian commercial channels. As one of Japan’s most prominent financial services groups, SBI has been actively expanding its digital asset and blockchain footprint. By backing dtcpay, SBI gains exposure to a regulated stablecoin payment network that can facilitate high-speed, low-cost cross-border transactions—offering a viable alternative to legacy SWIFT-based correspondent banking relationships, provided the intermediary meets rigorous regulatory standards across multiple jurisdictions.

    Why This Matters

    The closure of this Series A round underscores a growing convergence between traditional financial giants in Northeast Asia and regulated crypto-native infrastructure providers in Southeast Asia. Stablecoins are increasingly recognized not merely as trading instruments but as settlement rails for real-world commerce and treasury management. Dtcpay’s multi-license strategy—anchored by the MAS Major Payment Institution license—provides the regulatory credibility that institutions like SBI require to engage meaningfully with public blockchain networks. The partnership also highlights Singapore’s continued role as a regulatory hub for digital asset innovation in the Asia-Pacific region. Looking ahead, the fresh capital is expected to accelerate dtcpay’s product expansion, licensing efforts in new jurisdictions, and the scaling of its Visa card program to enterprise clients.

    Frequently Asked Questions

    Who led dtcpay’s $25 million Series A round?

    The round was initially anchored by Vertex Ventures Southeast Asia & India, with strategic participation from Japan’s SBI Group through SBI Ventures Asset and the SBI-NTU-Kyobo Digital Innovation Fund. Existing backers Genedant Capital and Kwee Liong Tek also participated.

    What licenses does dtcpay hold?

    Dtcpay holds a Major Payment Institution license from the Monetary Authority of Singapore, along with regulatory approvals in Europe, Hong Kong, Australia, and North America.

    What is the strategic significance of SBI Group’s investment?

    SBI’s investment signals a move to establish regulated, high-speed stablecoin payment corridors linking Japanese capital markets with Southeast Asian commercial channels, offering an alternative to traditional correspondent banking.

  • Velocity Raises $48M Series A from Visa, Circle, and Ripple

    Velocity Raises $48M Series A from Visa, Circle, and Ripple

    Velocity Raises $10M Series A Extension, Valuation Reaches $200M

    London-based stablecoin infrastructure provider Velocity has secured an additional $10 million in Series A funding, bringing the total round to $48 million and valuing the company at $200 million post-money. The extension, announced on September 15, includes participation from Visa Ventures, Circle Ventures, Ripple, Haun Ventures, Translink Capital, and Mirana Ventures.

    Series A Growth From $38M to $48M

    The original $38 million Series A, disclosed on July 14, was led by Dragonfly and FirstMark with participation from Activant Capital, Capital One Ventures, QED Investors, Coinbase Ventures, Wintermute Ventures, and Ripple. At that stage, Velocity reported total capital raised since May 2025 of nearly $50 million.

    CEO Eric Queathem confirmed the additional financing values the company at $200 million after the investment. He noted the original Series A had been oversubscribed, according to comments accompanying the funding disclosure.

    Ripple participated in both financing announcements, while Visa Ventures, Circle Ventures, Haun Ventures, Translink Capital, and Mirana Ventures joined the extension disclosed this week.

    Capital Deployment: Stablecoin Infrastructure for Existing Financial Systems

    Velocity plans to use the capital to develop infrastructure for issuers, acquirers, payment companies, banks, and merchants. Its system connects stablecoins with banking rails, custody, liquidity, compliance, and settlement tools while allowing customers to continue using their existing finance operations.

    Queathem said the company has focused on how money moves behind consumer payments. Velocity’s stated strategy is to place stablecoin settlement underneath existing payment and treasury systems instead of requiring companies to operate a separate crypto stack.

    Visa Investment Follows Operational Stablecoin Settlement Work

    Visa’s investment comes as the card network builds more stablecoin capabilities into its payment infrastructure. In Velocity’s funding announcement, Rubail Birwadker, Visa’s global head of growth products and strategic partnerships, said stablecoins were playing an increasingly important role in the Visa ecosystem and described Velocity as infrastructure for “stablecoin-powered money movement to every business.”

    The investment follows operational work between the two companies. On September 9, MVB Financial and Velocity announced participation in a Visa Direct pilot that lets eligible participants use stablecoins for certain push-to-card funding and settlement obligations. Digital-asset conversion, wallet connectivity, and on-chain controls are handled through licensed partners.

    Velocity said the MVB arrangement uses a single API and regulated wallet infrastructure. Stablecoins can be brought into payment flows without customers maintaining separate blockchain systems, while availability depends on eligibility and geography.

    Visa itself reported this month that more than 160 stablecoin-linked card programs were live globally during its fiscal second quarter. Payment volume across those programs had risen nearly 200% year over year, while stablecoin settlement volume had passed a $20 billion annualized rate.

    Velocity Targets Settlement, Liquidity, and Treasury Operations

    Founded in 2025, Velocity works with merchants, payment providers, fintech companies, and financial institutions that want to use stablecoins for money movement without rebuilding their existing treasury systems. Its platform combines stablecoin rails with local banks, custody providers, liquidity management, and compliance services.

    The company says the infrastructure can reduce reliance on prefunded accounts and extend settlement beyond standard banking hours. Its website lists payments, settlement, treasury automation, regulated wallets, FX connectivity, and liquidity services among its current products.

    Queathem previously worked at Worldpay, where his experience centered on large payment networks and settlement systems. His thesis for Velocity is that stablecoins will increasingly operate behind existing payment products instead of requiring businesses or consumers to change the interface they use.

    His forecast remains a company view rather than a confirmed market outcome. Queathem said he believes “in five years every global business is going to hold value onchain,” with treasury reconciliation and liquidity infrastructure becoming more important as corporate use develops.

    Competitive Landscape: Stablecoin Infrastructure Funding Surge

    Stablecoin payment infrastructure has drawn several large financings during 2026. In March, Tazapay took its Series B funding to $36 million with backing from Circle Ventures, Coinbase Ventures, and Ripple.

    A separate Checker funding round brought $8 million to an infrastructure provider building a single API for banks and fintech firms. Checker said it had processed more than $3 billion in transactions during the previous 12 months.

    Visa had invested in another stablecoin infrastructure provider before joining Velocity. Visa Ventures took a strategic stake in BVNK in 2025 after the company’s $50 million Series B. Mastercard later completed its acquisition of BVNK in August 2026 in a deal worth up to $1.8 billion. BVNK provides fiat-to-blockchain infrastructure for payments, payouts, settlement, and treasury activity.

    UK Regulatory Environment: Developing Stablecoin Regime

    Velocity is headquartered in London, where regulators finalized new rules for qualifying stablecoins and crypto custody on June 30. The framework will apply to firms authorized under the new regime from October 25, 2027, while the application gateway opens September 30, 2026.

    Velocity says its platform connects customers with licensed banks, FX providers, and digital-asset partners. Its public materials do not claim that every regulated function is carried out directly by Velocity itself, and its MVB announcement states that digital-asset conversion and related controls are performed by licensed partners.

    Circle Ventures’ participation comes as Circle expands payment infrastructure tied to $USDC. Circle reported $74.1 billion of $USDC in circulation as of September 10, while the company said the asset was available through more than 1,000 banks, blockchains, distributors, and other partners.

    Velocity said the $48 million Series A will support continued platform expansion and work with issuers, acquirers, merchants, payment providers, and financial institutions. No separate timetable for deploying the new $10 million extension was disclosed in the September 15 announcement.