Crypto infrastructure startup Commonware has raised $25 million in a funding spherical led by Tempo, a payments-focused blockchain community, underscoring a renewed effort to scale blockchain-based cost programs.
The deal, first reported by Fortune on Friday, is notable as a result of Tempo was launched in September by fintech big Stripe and crypto enterprise agency Paradigm. Commonware stated different traders participated within the spherical however declined to call them.
Commonware develops open-source software program that permits different corporations to construct and deploy their very own blockchains, supporting the rising ecosystem of payment-oriented Web3 infrastructure.
Commonware CEO instructed Fortune that “utilization and distribution is far more necessary than cash as a startup,” suggesting the corporate views its partnerships with Tempo and Paradigm as extra worthwhile at this stage than conventional monetary metrics.
Tempo isn’t an peculiar backer. The corporate was not too long ago valued at $5 billion after a $500 million funding spherical led by Thrive Capital and Greenoaks. The layer-1 blockchain has drawn consideration for its deal with stablecoins and real-world funds.
On the time, Stripe CEO Patrick Collison described Tempo as an “unbiased firm, with Stripe and Paradigm as the primary traders.”
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Crypto funds acquire momentum as stablecoin adoption grows
Funds have lengthy been a core use case for blockchain know-how, however the sector is regaining momentum as stablecoin adoption accelerates. That pattern got here to the forefront on Friday when seven crypto corporations launched the Blockchain Funds Consortium, an initiative geared toward creating frequent requirements for crosschain stablecoin transactions.
“[F]or blockchain funds to succeed in full potential, we should tackle the inconsistent and fragmented experiences people and establishments face when transferring between conventional funds and blockchain,” the consortium stated.
In a associated growth, the crypto media and pockets platform Bitcoin.com partnered with layer-1 blockchain Concordium to introduce age verification for stablecoin funds — a transfer the businesses say is in response to new security and compliance legal guidelines in varied jurisdictions.
The stablecoin market has expanded quickly over the previous yr, and the latest passage of the US GENIUS Act — a key piece of stablecoin laws — is anticipated to speed up that development. Towards this backdrop, Citigroup has raised its market capitalization forecast for stablecoins to $4 trillion by 2030.
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