Key Takeaways
- Velocity raised $38 million in Series A funding to expand its enterprise stablecoin payments and treasury platform
- The company has now raised $50 million total since May 2025, with Dragonfly Capital and FirstMark leading the latest round
- The platform connects traditional banking infrastructure with stablecoin networks to reduce settlement times and eliminate prefunding requirements
Velocity closed a $38 million Series A round to scale its stablecoin treasury platform for enterprises. The startup, founded in 2025, now sits at $50 million in total funding and is betting that CFOs will adopt stablecoins not as a novelty but as core infrastructure for moving money globally.
Dragonfly Capital and FirstMark led the round, according to the company's July 14 announcement. Dragonfly had previously invested in Velocity's October 2025 round, signaling confidence in the company's approach to bridging traditional finance and blockchain rails.
What does Velocity's platform actually do?
The pitch is straightforward: let enterprises keep their existing treasury operations while plugging stablecoins into the back end. Velocity combines stablecoin infrastructure with local banking rails, compliance tools, custody, liquidity management, and settlement orchestration. The result, the company claims, is faster settlement, no prefunding requirements, and cheaper cross-border capital movement.
Traditional cross-border B2B payments often settle in T+2 and require companies to park capital in destination markets before transactions clear. Stablecoins settle in minutes. For treasury teams managing global payables, that difference compounds.
Who's behind the company?
Velocity founder and CEO Eric Queathem has positioned the company specifically for CFOs and treasury teams, not crypto traders. "Stablecoins are moving beyond payments and becoming core infrastructure for how businesses manage and move money globally," Queathem said in the press release. "We fundamentally believe they will become instrumental in powering the back end of consumer payment flows."
Dragonfly General Partner Rob Hadick framed the investment around Velocity's understanding of the global payments stack. "We believe stablecoin adoption will be driven by global enterprises and financial institutions, and Velocity is reimagining how critical payments and commerce are executed," Hadick said.
The funding timeline
Why stablecoins for treasury now?
Stablecoins, cryptocurrencies pegged to fiat currencies like the US dollar, have grown from crypto trading tools into serious enterprise instruments. The total stablecoin market cap exceeds $150 billion, with annual on-chain transaction volume surpassing $10 trillion. Companies can save 2 to 5 percent on cross-border B2B payments compared to traditional correspondent banking.
Banks and fintechs are eyeing blockchain-native instruments for stablecoin-based payments, treasury operations, and on-chain finance, PYMNTS reported in January. The challenge, as PYMNTS noted in a July 10 report, is whether treasury departments can process stablecoins without dismantling the systems that already manage their daily cash movements. Velocity's answer is to wrap stablecoin infrastructure in familiar treasury workflows.
What Velocity plans to do with the money
The company outlined four priorities: expand its global banking and payments network, accelerate product development, deepen regulatory capabilities, and support growing demand from enterprises and financial institutions. The regulatory piece matters. Stablecoin adoption at scale requires compliance frameworks that satisfy both crypto regulators and traditional banking oversight.
Logicity's Take
Velocity's real test isn't technology. It's integration. Treasury teams use tools like SAP Treasury, Kyriba, and Oracle Cash Management. Velocity needs to plug into those systems cleanly or face the same adoption friction that has slowed enterprise blockchain projects for years. The $50 million war chest gives them runway to build those integrations, but watch whether they announce partnerships with major ERP vendors in the next 12 months. That's the signal that enterprises are actually deploying, not just piloting.
Frequently Asked Questions
What is Velocity's stablecoin treasury platform?
Velocity's platform lets enterprises use stablecoins for cross-border payments and treasury management while keeping their existing systems. It handles compliance, custody, liquidity, and settlement.
How much has Velocity raised in total?
Velocity has raised $50 million since May 2025, including a $10 million pre-seed round and a $38 million Series A led by Dragonfly Capital and FirstMark.
Why would enterprises use stablecoins for treasury?
Stablecoins settle in minutes instead of days, eliminate prefunding requirements for cross-border payments, and can reduce transaction costs by 2 to 5 percent compared to traditional banking rails.
Who are Velocity's investors?
Dragonfly Capital and FirstMark led the Series A. Dragonfly had previously invested in Velocity's October 2025 round.
Need Help Implementing This?
Logicity helps finance teams evaluate stablecoin infrastructure and treasury modernization strategies. Reach out to discuss how your organization can assess blockchain-based payment rails.
Source: PYMNTS | / PYMNTS
Huma Shazia
Senior AI & Tech Writer
Produced with AI assistance and reviewed by the Logicity editorial team. Learn more in our Editorial Policy.
