Listen to this article
Stablecoin startup Agora has raised $50 million in a Series A round led by Paradigm to grow its white-label AUSD network and expand internationally. The company enables partners to launch custom stablecoins backed by its infrastructure, while sharing reserve yield to incentivize adoption. With rising demand and evolving U.S. regulations, Agora positions itself as a foundational layer for global stablecoin issuance.
VC Giants Double Down on Stablecoins With Agora’s $50M Series A
Agora has raised $50 million in a Series A funding round led by Paradigm, a venture capital firm known for its focus on blockchain and crypto investments. The announcement follows Agora’s $12 million seed round in 2024, bringing its total funding to $62 million. Dragonfly, an early investor, also contributed to the Series A, though the bulk came from Paradigm. VanEck, the investment firm founded by the father of Agora cofounder Nick van Eck, is also involved in supporting the company’s infrastructure.
The funding reflects continued investor interest in stablecoins, a sector that is seeing increased attention amid broader crypto market developments.
Meet Agora: The Stablecoin Startup Backed by Legacy and Talent
Agora was cofounded by Nick van Eck, son of Jan van Eck, the CEO of the investment management firm VanEck. Alongside him are crypto veterans Drake Evans and Joe McGrady. The founding team brings experience from both traditional finance and decentralized technology sectors.
Agora enters a competitive field dominated by large stablecoin providers like Tether and Circle, which currently hold market capitalizations of approximately $158 billion and $62 billion, respectively. Agora’s own stablecoin, AUSD, has a current market size of $130 million.
AUSD Takes Center Stage in Agora’s Global Growth Strategy
Agora’s main product is AUSD, a U.S. dollar-pegged stablecoin that forms the foundation for a white-label issuance model. The company allows other firms to launch their own branded stablecoins on top of AUSD’s infrastructure.
This approach is intended to help partners leverage the liquidity and interoperability of the underlying stablecoin while creating their own identities. Unlike its competitors, Agora prioritizes establishing a robust network before focusing on brand recognition.
Why Agora Bets on Revenue Sharing to Drive Adoption
One of Agora’s distinguishing features is its commitment to sharing the yield generated from the reserve assets backing AUSD with its ecosystem partners. This model differs from dominant players who retain most of the revenue.
Drake Evans stated that stablecoins should function like public goods, with the majority of earnings distributed to those contributing value to the network. Agora collaborates with institutions like State Street and VanEck to manage its reserves, ensuring traditional financial safeguards.
Recommended: Beep Raises $52.7 Million to Expand Its AI-Powered Autonomous Shuttle Services Across the U.S.
Targeting a Global Market While Watching U.S. Policy Shift
At launch, Agora directed its efforts outside the United States due to uncertain regulatory conditions surrounding stablecoins. That decision was shaped by limited clarity on federal policy.
With recent movement in the U.S. Congress, including the Senate’s passage of a stablecoin-related bill in June, Agora is preparing for domestic operations. The company has begun acquiring state money transmitter licenses, a necessary step for compliance.
Nick van Eck indicated that while U.S. adoption may accelerate with legislation, demand from financial institutions outside the U.S. remains higher, especially in regions with volatile local currencies and significant cross-border payment needs.
Paradigm’s Confidence: Building a Turnkey Stablecoin Toolkit
Charlie Noyes, General Partner at Paradigm, described Agora’s solution as a “batteries-included stablecoin,” enabling businesses to create their own digital assets without building internal engineering teams.
The combination of white-label capabilities, network-level interoperability, and a revenue-sharing incentive is seen as a strong value proposition. While competition is intense, Noyes noted that few stablecoin models have succeeded in breaking into the market, giving Agora room to differentiate.
Stablecoins Heat Up: Can Agora Carve Out Space Among Giants?
Tether and Circle have set high benchmarks in the space, with their stablecoins occupying dominant market positions. Agora, though smaller, is positioning itself as a foundational service provider for both crypto-native and non-blockchain companies exploring stablecoin issuance.
Partnerships already include projects like Polygon, which has collaborated with Agora to issue purpose-built stablecoins for decentralized finance use cases. The company expects more non-crypto firms to follow.
Major tech firms such as Meta and Apple are reportedly exploring stablecoin initiatives, indicating potential future demand for infrastructure providers like Agora.
Why Agora’s Infrastructure-First Approach May Define Its Trajectory
Agora’s strategy of building a white-label network before establishing a standalone brand offers structural advantages. By enabling partners to launch directly atop AUSD, the company strengthens its moat through compounded liquidity and shared utility.
Its willingness to share yield, target underserved international markets, and stay regulatory agile positions it differently from incumbents. With $50 million in fresh capital and backing from one of the industry’s most influential venture firms, Agora expands its stablecoin infrastructure with a focus on scalability, compliance, and integration across sectors.
Please email us your feedback and news tips at hello(at)superbcrew.com
Activate Social Media:
