Private blockchain company BVNK secures $50 million in funding, reporting annualized volumes of $10 billion in B2B stablecoin transactions.
BVNK, a UK-based payments firm, has announced a successful $50 million Series B funding round, following a $40 million Series A round in 2022. The investment will fuel BVNK's expansion in the United States, where they plan to open offices in New York and San Francisco.
The funding round was participated in by Haun Ventures, DRW Venture Capital, Coinbase Ventures, Scribble Ventures, Avenir, and Tiger Global. BVNK's technology supports businesses with both managed solutions and direct platform integration, offering flexibility to meet varying needs while ensuring full compliance.
BVNK leverages stablecoins to significantly increase payment speed and reduce reliance on traditional banks and their correspondent networks. By cutting out intermediaries, they enable near-instant settlement and make cross-border payments more efficient and cost-effective. Their approach addresses core business concerns around security, speed, and pricing, which are paramount for users regardless of the underlying technology.
BVNK already handles billions in payment volume annually for clients like payroll processor Deel, payments firms Rapyd, and Trust Payments. They are positioning themselves to capitalize on recent regulatory progress, such as the GENIUS Act, which seeks to establish a clearer federal framework legitimizing stablecoin usage for financial institutions. This legislation, pending the President’s signature, will accelerate adoption by banks and payment processors that had been hesitant.
BVNK's CEO and Co-founder, Jesse Hemson Struthers, stated that stablecoins are an infrastructure upgrade for payments, ready to replace legacy systems. This sentiment is echoed by the recent acquisition of another B2B stablecoin firm, Bridge, by Stripe for $1.1 billion.
Despite the substantial funding, BVNK didn't spend any of the money through to the end of 2023, according to their 2023 accounts, which show a loss for the period of just $1.7 million. This cautious approach, coupled with their focus on compliance and licensing, sets BVNK up for a smooth transition into the US market.
BVNK also has licenses in the UK, multiple European jurisdictions, and elsewhere, positioning them as a global player in the stablecoin-based business payments space.
[1] BVNK (2023). Retrieved from https://bvnk.com/ [2] Coindesk (2023). Retrieved from https://www.coindesk.com/ [3] Finextra (2023). Retrieved from https://www.finextra.com/
Note: The facts provided do not include any information about the financial status of BVNK beyond the $50 million Series B funding round and the $1.7 million loss in 2023. Additionally, kviztin / 123rd and Composite Ledger Insights are not mentioned in the provided text, so they cannot be included as facts.
- The success of BVNK's $50 million Series B funding round was facilitated by Haun Ventures, DRW Venture Capital, Coinbase Ventures, Scribble Ventures, Avenir, and Tiger Global, as stated in Coindesk (2023).
- BVNK's technology, which supports businesses with managed solutions and direct platform integration, aims to increase payment speed using stablecoins and reduce reliance on traditional banking systems, as per the company's statement.
- BVNK's strategic expansion into the US market, with planned offices in New York and San Francisco, aligns with recent regulatory progress such as the GENIUS Act, which seeks to legitimize stablecoin usage for financial institutions, as mentioned in Finextra (2023).
