Velocity banks $38M to teach enterprises the stablecoin two-step 💸

Stablecoin treasury platform Velocity has raised $38 million in a Series A funding round to expand infrastructure that helps enterprises and financial institutions use stablecoins for cross-border settlement and treasury operations. The round was led by Dragonfly and FirstMark, with participation from Activant Capital, Capital One Ventures, QED Investors, Coinbase Ventures, Wintermute Ventures and Ripple. Velocity said the capital will go toward expanding its banking and payments network, developing new products and strengthening its regulatory capabilities.

Founded in 2025, Velocity builds software that connects stablecoin networks with banking, custody, compliance and settlement systems, targeting enterprise finance teams, payment providers, fintech firms and financial institutions using stablecoins for cross-border payments and treasury operations. The company said the Series A brings its total funding to nearly $50 million since launch.

The raise lands as competition in the enterprise stablecoin market intensifies. In June, more than 140 companies backed the launch of Open USD (OUSD), a dollar-pegged stablecoin supported by Visa, Mastercard, Coinbase and Ripple. Investment in stablecoin infrastructure has accelerated in parallel, with Tether participating in a $5.2 million round for Ark Labs in March to support stablecoin issuance and settlement on Bitcoin, OpenFX raising $94 million in a Series A the same month to scale its stablecoin-based foreign exchange network, and Trace Finance securing $32 million in April to expand cross-border payment infrastructure combining banking, FX and stablecoin settlement.

According to a joint analysis by McKinsey and Artemis Analytics, stablecoins processed $390 billion in annualized real-world payments in 2025, including roughly $226 billion in business-to-business transactions, underscoring the demand for the underlying infrastructure Velocity and its peers are building.