Quick take:
- Stable is building a layer-1 blockchain designed for stablecoins, with a specific focus on Tether’s USDT.
- It aims to eliminate the pain points caused by using composable blockchains for stablecoin transactions, including high fees and long confirmation times.
- The announcement comes barely two weeks after President Trump signed into law the highly anticipated GENIUS Act, which provides clarity for stablecoins regulation.
Stable, a layer-1 blockchain designed for stablecoins, with a specific focus on Tether’s USDT, on Thursday said it raised $28 million in a seed round co-led by Bitfinex and Hack VC. The fundraising also attracted participation from Franklin Templeton, eGirl Capital, Mirana, Castle Island Ventures, Susquehanna International Group, Nascent, and Blue Pool Capital.
The fundraising was structured as a simple agreement for future equity (SAFE) and token warrants, according to the report by The Block.
The company plans to use the capital to accelerate the development of Stablechain, its layer-1 blockchain, which aims to eliminate the pain points caused by using composable blockchains for stablecoin transactions, including high fees and long confirmation times.
Stable believes stablecoins, and especially Tether, are the future of on-chain payments.
The announcement also comes just two weeks after President Trump signed the highly anticipated stablecoin-focused GENIUS Act into law. The GENIUS Act provides clarity for stablecoin regulation and a framework for banks to build infrastructure for digital payments.
“It is clear that the U.S. is undergoing a complete 180 in terms of its approach to digital assets and stablecoins, moving from the ‘enforcement by lawsuit’ approach under the previous administration towards providing clear rules of the road for institutions,” said Paolo Ardoino, CEO of Tether and CTO of Bitfinex. “Now, major financial institutions and banks will be able to fully unleash the power behind assets like USDT.”
Incubated by Bitfinex, Stable said it started raising the funds in June, with the round closing in July. Braintree’s Bryan Johnson and Iconiq Capital’s Divesh Makan are among those joining the company as angel investors and advisors.
Stable is not the only Web3 company building a blockchain focused on stablecoins. Bitcoin-based Plasma is another that shares the same views about using composable blockchains for stablecoin transactions. It recently raised $373 million in an oversubscribed token sale. Plasma also counts Bitfinex among its backers.
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