Visa secures $25 million in funding.
Rain Secures $24.5 Million in Funding for Visa-Backed Stablecoin Card Initiative
Fintech company Rain has announced it has raised $24.5 million in a funding round led by Norwest Venture Partners. The funding round also saw participation from Galaxy, CompoSecure, Goldcrest, Vinyl, BDMIFund, Latitude Capital, Thayer, Hard Yaka, and existing investors Lightspeed Venture Partners, Comcast Ventures, and Canonical Crypto.
The company plans to use the funds to further develop and expand its infrastructure, specifically focusing on enhancing its card-issuing platform to support stablecoin-linked card programs and integrating with Visa’s stablecoin settlement program. This move aims to enable seamless, real-time global payments using stablecoins like USDC.
Rain's decision to tap into the growing acceptance and demand for stablecoins is driven by the diverse use cases they provide, including cross-border payments, currency transfers, and dollar savings. The company reported a 15x increase in revenue over the past 12 months and said its cards are accepted in over 100 countries.
The company's strategic focus on stablecoins comes as a report reveals that between July 2023 and June 2024, over $415 billion in cryptocurrency passed through Latin America, accounting for approximately 9.1% of global activity.
In a separate development, Rain and Avalanche partnered to release a new on-chip payment card in October 2024. For more information on payment cards for digital asset transactions, readers can refer to a previous article published on our website.
Rain intends to utilize the raised funds for advancing their technology, particularly in refining their card-issuing platform to accommodate stablecoin-linked card programs and integrating with Visa's stablecoin settlement program, with the goal of facilitating real-time global payments using stablecoins such as USDC. This investment in technology is part of Rain's commitment to capitalizing on the burgeoning interest and application of stablecoins for diverse purposes, including cross-border payments, currency transfers, and dollar savings.
