Outside of AI, there’s no hotter sector than stablecoins. Big tech companies like Meta are exploring integration, Congress is on the precipice of advancing legislation, and venture investors—including generalist funds otherwise wary of diving back into crypto—are showering startups with funding. The latest is OpenFX, an infrastructure firm founded by Prabhakar Reddy, which is emerging from stealth with $23 million in funding led by Accel.
For those not versed in blockchain jargon, stablecoins are a type of cryptocurrency pegged to an underlying asset, such as a fiat currency or a commodity like gold, and designed to stay at a certain price. By far, the most popular version has been dollar-backed stablecoins, with the market leaders Tether and USDC holding a combined market capitalization of over $200 billion.
