Stablecoin Firm Rain Raises $250M, Valuation Hits $1.95B

Fintech company Rain announced Friday that it had raised $250 million in a funding round, bringing the stablecoin-focused firm’s valuation to $1.95 billion. New York-based Rain, a company backed by Visa that issues spending cards, said that it had brought its total funding to over $338 million, just four months after its Series B and 10 months after its Series A. The latest round was led by ICONIQ with participation from Sapphire Ventures, Dragonfly, Bessemer, Lightspeed and Galaxy Ventures, Rain said. “Stablecoins are quickly becoming the way money moves in the 21st century, but adoption by users worldwide requires cards and apps that just work,” Farooq Malik, the firm’s CEO and co-founder, said in a statement. He added that in the last year, the firm’s active card base had increased thirtyfold and that the company’s annualized payment volume has increased by 38 times. Rain provides companies with the infrastructure to issue stablecoin-linked debit cards so that the digital tokens can be “instantly usable anywhere Visa is accepted.” Stablecoins and the fintech companies issuing them are now a major topic in the world of finance since US President Donald Trump last year signed the GENIUS Act into law, establishing a framework for issuing the digital tokens. Now major banks and companies are focused on issuing stablecoins with the hope of speeding up payments. A number of top crypto companies are pushing even further into the traditional finance space, with the likes of Coinbase, Circle, and Ripple receiving conditional approval from the Office of the Comptroller of the Currency to obtain national trust bank charters. The charter will allow the companies to operate like banks by allowing them to oversee their own reserves and take custody of assets for institutions. Mathew Di Salvo is a news correspondent with DL News. Got a tip? Email at mdisalvo@dlnews.com.