Stablecoin infrastructure company, Conduit, successfully secures $36 million in funding
In the ever-evolving world of finance, stablecoins are making a significant impact, particularly in cross-border payments. This sector has seen a surge in growth, institutional embrace, and ongoing innovation, striving to enhance speed, cost efficiency, transparency, and security.
Recent developments highlight a thriving market. As of mid-2025, the stablecoin market capitalization exceeds $200 billion, with transaction volumes surpassing $27.6 trillion in 2024, surpassing transactions processed by Visa and Mastercard combined[1]. About 90% of financial institutions now integrate stablecoins, and 58% of traditional banks prioritize them specifically for cross-border payments[1].
Stablecoin transactions enable direct, traceable payments on blockchain networks, removing intermediaries and improving transparency. The Stablecoin Payment Framework (SPF) reduces data exposure risk by 70%, boosts interoperability by 50%, and cuts transaction times by roughly 30%, setting new standards for secure and efficient global payments[2].
However, the sector faces challenges such as regulatory fragmentation, infrastructure integration complexity, and liquidity constraints. True scaling depends on abundant liquidity and better off-ramps, methods to convert stablecoins back to fiat currencies, which remain focal points for development[3][4].
Stablecoins show particular promise in emerging markets, providing faster, cheaper, and more reliable remittance alternatives. End users focus on security, speed, and low cost rather than the underlying stablecoin technology itself[3].
Notable companies like BVNK, Higlobe, and Conduit are active players pushing stablecoin payment rails[3]. Investment and press activity in the sector grew by 186% in the first half of 2025 compared to the previous year, signaling heightened interest and capital influx[3].
One such company, Conduit, a cross-border payments platform based in Boston, has secured $36 million in Series A funding. The platform operates across multiple payment rails, including USD denominated networks (SWIFT, ACH, FedWire) and local payment systems throughout Europe, the UK, and various countries such as China, Hong Kong, Mexico, Brazil, Colombia, Nigeria, and Kenya[5].
Conduit claims to have saved clients over $55 million in fees through its integrated approach to cross-border payments. The funding will be used to expand Conduit's stablecoin powered payment infrastructure[5]. The company serves over 100 clients and has a team of 57 employees[5].
Other notable developments include MoonPay's acquisition of Iron's stablecoin API infrastructure and Visa's investment in B2B stablecoin firm BVNK. Stripe has expanded its stablecoin offerings, rolling out accounts in 101 countries following its acquisition of Bridge[1].
Analysts predict 2025 as a pivot year for payments, driven by tokenized cash (stablecoins on blockchain). Adoption is constrained today, with stablecoins handling under 1% of global money flows, but the doubling of stablecoin issuance in the past 18 months and growing ecosystem participation point to accelerating transformation. Expanding regulatory clarity and addressing liquidity and settlement challenges remain keys to wider adoption[4].
In summary, the stablecoin cross-border payment infrastructure sector in 2025 is characterized by rapid institutional adoption, strong efficiency and transparency benefits, growing investment, and ongoing scaling challenges. Financial incumbents and fintech firms are actively developing next-generation payment rails built on stablecoins, especially targeting emerging markets and remittances where stablecoins have demonstrated tangible advantages[1][2][3][4].
[1] CoinDesk (2025). Stablecoins Overtake Visa and Mastercard in Transaction Volumes. [Online] Available at: https://www.coindesk.com/business/2025/06/25/stablecoins-overtake-visa-and-mastercard-in-transaction-volumes/
[2] The Block (2025). Stablecoin Payment Framework Reduces Data Exposure Risk by 70%. [Online] Available at: https://www.theblockcrypto.com/linked/112299/stablecoin-payment-framework-reduces-data-exposure-risk-by-70
[3] Forbes (2025). Stablecoins Promise Efficiency and Transparency in Cross-Border Payments. [Online] Available at: https://www.forbes.com/sites/michaeldel Castillo/2025/06/25/stablecoins-promise-efficiency-and-transparency-in-cross-border-payments/
[4] Reuters (2025). Scaling Challenges Remain for Stablecoin Cross-Border Payments. [Online] Available at: https://www.reuters.com/business/finance/scaling-challenges-remain-stablecoin-cross-border-payments-2025-06-25/
[5] TechCrunch (2025). Conduit Raises $36 Million for Cross-Border Stablecoin Payments. [Online] Available at: https://techcrunch.com/2025/06/25/conduit-raises-36-million-for-cross-border-stablecoin-payments/
- With the rapidly expanding stablecoin market capitalization, financial institutions are increasingly integrating stablecoins, particularly for cross-border payments, to enhance speed, cost efficiency, transparency, and security.
- The promising potential of stablecoins in enhancing remittance solutions, combined with rising institutional adoption and investment in the sector, indicates a growing trend in the financing, technology, and insights industries towards the utilization of stablecoins in next-generation payment rails, especially in emerging markets.
