Better Money Secures $10M Seed Round

Better Money secures a $10 million seed round to build stablecoin clearing infrastructure. The company aims to provide cheaper exchange across dollar-backed tokens.

Introduction to Better Money

Better Money, a startup founded by former a16z crypto investor Sam Broner and Adam Zuckerman, has raised $10 million in seed funding to build a stablecoin clearinghouse. This venue will enable customers to exchange different dollar-backed tokens more cheaply.

Stablecoin Clearinghouse and Its Benefits

The concept of a stablecoin clearinghouse is landing just as the stablecoin field is becoming more crowded and strategic globally. Better Money is not trying to launch another token, but to organize access across a swelling ecosystem of existing ones. By reducing friction for businesses, the company aims to provide access to multiple stablecoins without stitching together separate commercial relationships.

Regulatory Compliance

Better Money says it intends to support any token compliant with the Genius Act, tying its product roadmap directly to the emerging U.S. rulebook for stablecoins. This would notably exclude USDT, the largest stablecoin on the market, though not its American version, USAT.

Key Players and Investments

The round was led by a16z crypto, with participation from BoxGroup, Sunflower Capital, and several angel investors. $10 million in seed funding will be used to build the stablecoin clearinghouse. Better Money has already received commitments from issuers intending to join the clearinghouse, including Paxos, Stripe’s Bridge, and MoonPay.

Key Takeaways

• Better Money raises $10 million in seed funding to build a stablecoin clearinghouse.
• The company aims to provide cheaper exchange across dollar-backed tokens.
• Better Money will support Genius Act-compliant tokens, excluding USDT but not USAT.
• The product is expected to launch in the coming weeks.

Frequently Asked Questions

What is the purpose of Better Money's stablecoin clearinghouse?

Better Money's stablecoin clearinghouse aims to provide a venue for customers to exchange different dollar-backed tokens more cheaply.

Which investors participated in the seed round?

The round was led by a16z crypto, with participation from BoxGroup, Sunflower Capital, and several angel investors.