Rain, a startup focused on issuing Visa debit and credit cards that facilitate the use of stablecoins, has successfully raised $24.5 million in a recent funding round. The investment was led by Norwest Venture Partners, with additional contributions from notable investors including Galaxy Digital, Coinbase Ventures, and CompoSecure.
The company aims to simplify the spending of stablecoins, addressing the growing demand for seamless transactions in everyday purchases. Rain’s announcement highlighted the increasing adoption of stablecoins, which are being used for various purposes such as remittances, cross-border payments, and dollar-based savings.
The firm reported significant revenue growth of 15x in the past year and claims to process payments in over 100 countries.
The surge in stablecoin utilization has coincided with a broader trend among Web3 companies striving to enhance the ease of spending digital assets. Recent data indicated that stablecoin transfers surpassed the combined transaction volumes of major credit card companies Visa and Mastercard last year.
In conjunction with this funding round, Rain emphasized its commitment to global expansion, leveraging its Visa Principal Membership and proprietary blockchain infrastructure to expedite the issuance of stablecoin-enabled cards. The company aims to provide faster and more efficient payment solutions for consumers.
This funding comes amid a wave of investment in the crypto payments sector. Earlier in March, the crypto payment platform RedotPay secured $40 million, while Mesh raised $82 million to improve transactions involving crypto assets and merchants.
