Core Insights - VelaFi has raised $20 million in a Series B funding round, increasing its total funding to over $40 million, with participation from notable investors including XVC, Ikuyo, and Alibaba Investment [1][2]. Company Overview - Founded in 2020, VelaFi initially focused on payment infrastructure in Latin America and has since expanded into the U.S. and Asia, connecting local banking systems and cross-border payment networks [2]. - The company provides a range of services including on- and off-ramps, pay-ins and pay-outs, cross-border payments, multi-currency accounts, foreign exchange tools, and asset management services [3]. Industry Context - Stablecoins are increasingly recognized as essential tools for global payments, designed to maintain stable value and facilitate quick transactions [3][4]. - The use of stablecoins has expanded beyond crypto trading to include applications in cross-border payments, treasury management, and liquidity operations, particularly in regions with inefficient traditional banking systems [4]. - Industry estimates suggest that annual stablecoin transaction volumes reach into the tens of trillions of dollars, indicating a significant market potential for companies like VelaFi [5].