Trace Finance is positioning itself as a critical bridge between digital assets and traditional banking by integrating stablecoin settlement with regulated local execution. The company was named a Grand Prix winner at the 2026 Money Awards during Money20/20 USA, securing the Growth Stage Startup award in the Payments & Commerce category. Having processed more than US$15B in institutional cross-border volume, Trace is targeting the gap where instant digital dollar movement meets the necessity for compliant local banking connectivity, FX handling, and regional licensing requirements.
Trace Finance Secures Money20/20 Grand Prix
The recognition comes from an independent jury of 41 senior leaders representing major financial institutions, including J.P. Morgan, Citi, ING, and U.S. Bank. Trace Finance was honored on the Money20/20 USA main stage for its work in "Transforming Cross-Border Payments Through Regulated Infrastructure." This distinction places the company alongside other Grand Prix honorees such as bolttech and Privy, a Stripe company. The award highlights Trace's ability to manage complex flows, specifically serving as the primary provider for the top four global payment providers operating in Latin America, including dLocal. By building a stack that combines stablecoin settlement with licensed banking rails, the company aims to address the operational complexities that have historically hindered widespread enterprise stablecoin adoption in global business payments.
Scaling Regulated Infrastructure and FX Capabilities
Trace Finance is leveraging its regulatory-first model to navigate increasingly strict global oversight. In Brazil, where virtual asset cross-border flows are now classified as foreign exchange operations, the company operates under its own licenses alongside partner banks in Mexico, Colombia, Europe, and Asia. This approach distinguishes Trace from entities using fund-based structures that the Brazilian Central Bank has recently targeted. Following a $32 million Series A funding round in June—led by CoinFund with participation from Coinbase Ventures and Jump Capital—the company is scaling its footprint across the U.S., APAC, and LatAm. The capital is earmarked for deepening FX, bank connectivity, and compliance capabilities, while also developing new settlement products built directly on its regulated banking infrastructure to support large-scale global enterprises.
Key Takeaways
- Trace Finance has processed more than US$15B in institutional cross-border volume to date.
- The company secured the Grand Prix Growth Stage Startup award at the 2026 Money Awards.
- Trace operates under its own licenses in the U.S. and Brazil, with banking partnerships spanning Mexico, Colombia, Europe, and Asia.
FinanceInsyte's Take
In our view, Trace Finance is successfully executing a "compliance-as-infrastructure" strategy that addresses the primary barrier to institutional stablecoin utility: the regulatory perimeter. While many fintechs attempt to bypass traditional FX and banking rules, Trace is embedding itself within them. By securing local licenses and building direct connectivity to rails like Pix in Brazil, they are providing the "last mile" of compliance that large enterprises require to move digital assets safely. This shift toward bank-grade, licensed infrastructure suggests that the next phase of stablecoin growth will not be driven by decentralized protocols alone, but by regulated intermediaries capable of managing the friction of local fiat settlement.
Questions & Answers
How does Trace Finance differentiate its settlement model from other stablecoin providers?
Unlike providers that rely on unregulated fund-based structures, Trace Finance integrates stablecoin settlement with regulated local banking infrastructure, FX handling, and on-the-ground licensing to ensure compliant local execution.
What is the strategic importance of Trace Finance's presence in the Brazilian market?
Brazil represents a highly complex FX and compliance environment; by building a stack there first and maintaining its own licenses, Trace has established a blueprint for operating within strict regulatory perimeters that the Brazilian Central Bank is actively enforcing.
What are the primary uses for the $32 million Series A funding?
The company intends to use the capital to scale with large global enterprises, expand its regulated footprint into APAC and the U.S., and deepen its technical capabilities in FX, compliance, and stablecoin settlement.
Which major institutional players participated in the Money20/20 award jury?
The independent jury included 41 senior leaders from prominent global institutions, such as J.P. Morgan, Citi, ING, U.S. Bank, and Visa’s Featurespace.
Source: Trace Finance
