Stablecoin infrastructure company HIFI has closed a $37 million Series A led by Left Lane Capital, marking what CEO Zach Walsh said is the firm’s first priced funding round. The company did not disclose its valuation.

The raise comes as stablecoin use in payments and cross-border transfers continues to expand, even as broader crypto markets remain soft. Walsh told Cointelegraph that HIFI is currently processing about $7 billion in annualized volume through its platform.

Funding aimed at broader product buildout

According to Walsh, the new capital will be used to scale HIFI’s tokenized capital markets infrastructure and to expand its wider product suite, including stablecoin payments products. The company positions itself as a bridge between blockchain-based financial activity and the traditional banking system.

That focus reflects a broader shift in finance, with more payments activity and financial assets moving onto blockchains. As that trend develops, demand has been rising for infrastructure that can connect onchain systems with conventional settlement and banking rails.

What HIFI’s platform currently offers

HIFI’s infrastructure is designed to help customers move dollars into and out of stablecoins, send payouts through US banking rails and cards, and settle the cash side of tokenized repo and Treasury transactions in US dollars.

The company has also expanded into card-based payouts through Visa Direct. According to HIFI’s website, customers can convert USDC and send the proceeds to eligible Visa debit and credit cards around the world.

Role in tokenized market pilots

HIFI was one of more than 30 firms that took part in production trades run by the Depository Trust & Clearing Corporation in July. Other participants included BlackRock, Goldman Sachs and Nasdaq.

DTCC said those trades covered several market functions, including US Treasury and repo settlement, equity transactions, securities lending and collateral workflows. The exercises used assets held at the Depository Trust Company that had been turned into tokenized representations, including delivery-versus-payment transactions involving Treasurys and repo.

Growing activity across payment networks

The company’s expansion coincides with increasing stablecoin activity in established payment networks. On Sept. 9, Visa said more than 160 stablecoin-linked card programs were live globally during its fiscal second quarter.

Visa also reported that payment volume through those programs rose nearly 200% from a year earlier. Separately, the company said its stablecoin settlement volume had moved past a $20 billion annualized run rate, more than 15 times the level recorded a year earlier.

Next milestone for the market

One of the clearest near-term markers for the tokenization push is DTCC’s planned Tokenization Service launch in October. HIFI’s recent funding and its participation in DTCC’s July trades place the company within that developing market for blockchain-based settlement infrastructure.

For now, the confirmed picture is that HIFI has fresh capital, undisclosed valuation terms, and a stated plan to expand services tied to stablecoin payments and tokenized financial transactions.

Source: cointelegraph.com