New Stablecoin Launches and Over $100M Raised This Week 💰

🚀 New Launches

Hyperliquid prepares to launch native stablecoin $USDH

Hyperliquid is set to roll out a compliant, fiat-backed USD stablecoin built natively for its ecosystem, with validators selecting the team best suited to run it. Paxos, AgotrFrax, Etherna are begining to submit proposals

Currently there are $5.5B USDC in Hyperliquid, if 100% swaps to USDH, that would generate + $220M in annual revenue for Hyperliquid. USDC depositors are missing out on $200M in annualized revenue that currently flows to Circle. A native, Hyperliquid-first stablecoin could redirect that yield back to users..

For Circle (CRCL) shareholders it is not great news. A full swap would cut USDC supply by 7% and reduce annual revenue by about $220M. Shares dipped 8% post-announcement, after trading flat at $118 pre-market.

Timeline: Hyperliquid has released the timeline for its stablecoin proposals: submissions are due Sep 10, validator declarations by Sep 11, and final voting on Sep 14.

Remember, validator voting power comes from their stake - so stake with one that aligns with your view.

Ondo launches Global Markets to bring U.S. Stocks Onchain

Ondo Finance brings tokenized U.S. stocks and ETFs to Ethereum for non-U.S. investors. The platform starts with 100+ assets and plans to scale to over 1,000 by year-end.

The product combines traditional market access with blockchain advantages:

• 24/7 transfers onchain + mint/redeem during U.S. market hours.

• Traditional-market liquidity, low slippage.

• Usable across DeFi for collateral, lending & trading

• Integrated with Bitget, OKX, Trust Wallet, Ledger & more

All assets are fully backed and custodied with U.S. broker-dealers, with daily verification for transparency. This would be the largest tokenized equities launch to date, a step toward Wall Street 2.0.

Stripe launches Tempo: payments-first L1 blockchain for stables

Stripe, in partnership with crypto VC firm Paradigm, launches Tempo, a payments-focused Layer 1 blockchain designed to process transactions faster and cheaper than legacy systems. Built from scratch and compatible with Ethereum’s developer tools, Tempo is part of Stripe’s broader move into digital assets.

Tempo marks the latest step in Stripe’s crypto strategy, following its $1.1B acquisition of stablecoin platform Bridge and its purchase of wallet developer Privy.

By controlling its own rails, Stripe can manage the full payment stack - from wallets to settlement, while positioning Tempo as a faster, cheaper alternative to systems like SWIFT.

If successful, Stripe could drive mainstream adoption of blockchain payments through its merchant network and accelerate stablecoin use in ecommerce and cross-border transfers.

📈 Funding Watch

M0 Raises $40M Series B

The platform builds infrastructure that lets issuers deploy stablecoins across blockchains without building their own cross-chain software

Switzerland-based stablecoin platform M0 has raised $40M in a Series B round led by Polychain Capital and Ribbit Capital, with participation from Pantera, Bain Capital Crypto, and Endeavor Catalyst. This brings M0’s total funding close to $100M since its 2023 launch.

The platform surpassed $300M in supply by July 2025, and will support MetaMask’s upcoming mUSD stablecoin, set to launch later this year on Ethereum and Linea. Other projects using M0 include Noble, Usual, Playtron, and KAST.

The raise comes as the stablecoin market has doubled in 2025 to $289B. Partnerships with firms like Bridge strengthen M0’s regulated infrastructure model, allowing fintechs to issue stablecoins with licensing and monitoring support.

Rain Secures $58M to Expand Stablecoin Cards

Rain is a fintech that issues Visa-backed cards powered by stablecoins, making digital dollars spendable worldwide

Rain has raised $58M in Series B funding, bringing its total to $88.5M. The company says the funds will expand its platform to deliver modular, compliant stablecoin infrastructure for global institutions. The round was led by Sapphire Ventures with participation from Dragonfly, Galaxy Ventures, Samsung and more.

Rain’s infrastructure is already processing payments across 150+ countries, with transaction volume growing tenfold in 2025. Portfolio partners using Rain include Nuvei, Avalanche, Dakota, and Nomad, for payouts, B2B spend, consumer purchases, and cross-border payroll.

The raise comes amid surging momentum for stablecoins, CEO Farooq Malik said stablecoins are becoming the backbone of global commerce.

Kite Raises $18M to Build Blockchain for AI Agents

Kite is developing a decentralized protocol that gives AI agents secure identity, governance, and native stablecoin payments to transact and coordinate without intermediaries

AI blockchain startup Kite has raised $18M in Series A funding, co-led by PayPal Ventures, bringing its total to $33M. The round included investors like Samsung Next, Animoca Brands, LayerZero, Avalanche Foundation, and Hashed. While the company did not disclose its valuation, the funding will be used to develop a blockchain-based protocol for what it calls the ‘agentic internet.’

Kite’s platform aims to give AI agents a shared, decentralized infrastructure for identity, governance, and stablecoin payments. This would allow autonomous agents to authenticate, communicate, and transact securely without intermediaries.

CEO Chi Zhang described a future where shopping and other online tasks could be handled entirely by AI agents, without users needing to visit websites or apps.

PayPal noted that more infrastructure is needed before AI agents can reach their transformative potential. By building the rails for agent-to-agent identity checks and payments, Kite is positioning itself as a foundation for a new economy powered by autonomous AI.

Other funding updates the past week:

• Obita raises $10M to expand its stablecoin-powered cross-border payments network, aiming to cut costs, speed up settlements, and scale globally.

• Utila raised $22M in a Series A extension led by Red Dot Capital, nearly tripling its valuation as demand for institutional stablecoin infrastructure surges, now processing $15B+ monthly across 200+ clients.

• Reflect Money raises $3.75M to launch yield-bearing stablecoin infra on Solana, aiming to turn idle USDC into yield-generating USDC+.

⚡️ Quick News:

• YY Group (NASDAQ: YYGH) plans to integrate regulated stablecoin payments into its gig worker platform, enabling faster, lower-cost cross-border transactions and new fintech revenue streams. [Article]

• Japan’s first yen-backed stablecoin (JPYC) launches this fall, aligning with BOJ rate hikes that could boost demand for yen digital assets. [Article]

• USDe supply has jumped to $12B, driven by leveraged yield loops on Pendle and Aave, though its growth hinges on sustaining favorable funding rates. [Article]

• BNB Chain’s stablecoin supply has jumped 58% in 2025 to $11.1B, signs of renewed liquidity, DeFi activity, and investor confidence. [Article]

We mapped 40+ active issuers across five categories: Fiat, Crypto, Algorithmic, Hybrid, and Real Asset-Backed - to give you a clearer view of the stablecoin universe.

It’s a fast-growing space, and knowing what’s under the hood is key to understanding risk, regulation, and where stablecoins are headed next.