Crypto Whiz Kids Get a Whopping $50M!

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Oh joy, oh rapture! Agora, a stablecoin startup, has just secured a whopping $50 million in funding! 🎉 And who’s behind this magnificent investment, you ask? None other than the crypto venture firm Paradigm, led by the illustrious Fred Ehrsam, co-founder of Coinbase. 💸

Agora, founded by the ingenious Nick van Eck (son of VanEck CEO Jan van Eck), along with crypto veterans Drake Evans and Joe McGrady, is on a mission to revolutionize the world of stablecoins. Their brainchild, AUSD, is a white-label stablecoin that enables companies to launch their own branded stablecoins, sharing liquidity and interoperability. 🤝

“We wanted to do something novel,” van Eck told Fortune, “start by building the network… We always had the view that we were going to do white-labeled issuance in a different way to how existing peers had done it.” Ah, the sweet taste of innovation! 🍰

Agora has already joined forces with crypto projects like Polygon to issue customized stablecoins and plans to expand its partnerships beyond blockchain-focused firms. The possibilities are endless! 🌟

But wait, there’s more! Paradigm, along with Dragonfly Capital, led the investment, exercising its rights to increase its stake. It’s a match made in crypto heaven! 💕

The Stablecoin Market: A Crowded Affair

Agora is entering a crowded space, dominated by industry giants Circle and Tether, with market caps of $62 billion and $158 billion, respectively. But don’t worry, Agora’s market cap is a mere $130 million, a tiny drop in the ocean! 🌊

And it’s not just crypto giants that are interested in stablecoins. Non-crypto behemoths like Meta, Apple, Google, and Elon Musk’s X are also eyeing the market. Even World Liberty Financial (WLFI), a decentralized finance platform co-founded by US President Donald Trump and his family, has launched its own USD1 stablecoin. It’s a stablecoin party! 🎉

But regulatory uncertainty in the US has pushed Agora to prioritize international markets, targeting regions where currency volatility and cross-border payments create demand. Ah, the joys of navigating regulatory waters! 🌴

Pending US legislation, particularly the GENIUS Act, may open doors for Agora stateside. Van Eck said the company is preparing to acquire money transmitter licenses and expects to serve US customers if a federal regulatory framework emerges. Fingers crossed! 🤞

“A lot of different financial institutions outside of the US… are looking more aggressively and will be quicker to move than some of the companies in the US,” van Eck said. “A lot of companies in the US are talking about it because it’s the topic du jour.” Ah, the art of subtlety! 😉

CryptoMoon reached out to Agora for comment but had not received a response by publication. Oh, the suspense! 🤔

Agora’s AUSD Makes Debut OTC Trade

Earlier this year, asset manager Galaxy and Agora completed the first over-the-counter trade using AUSD, marking a step from concept to real-world use. It’s a milestone, folks! 🎉

Agora launched in April last year after securing $12 million in seed funding. The funding round was led by Dragonfly, with support from Robot Ventures, Wintermute, Breed, and General Catalyst, where van Eck was formerly a partner. It’s a small world, after all! 🌎

Unlike leading stablecoins, Agora shares the yield generated from reserve assets with its partners. “One of the things we believed in the very beginning was that stablecoins should be run like public goods, which to us meant the lion’s share of the revenue gets passed to the people who are providing value,” Evans said. Ah, the spirit of sharing! 🤝

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2025-07-10 17:13