Visa Invests in HoneyCoin for Expanded Stablecoin and Traditional Payments Options

Visa has invested in HoneyCoin, a payments orchestration startup that connects stablecoin and traditional bank rails. HoneyCoin's API-driven platform processes $150mln in monthly transaction volume and serves 350+ enterprise clients. The funding will go toward expanding HoneyCoin's team and product suite for payment service providers and enterprises seeking compliant access to stablecoin settlement rails and FX liquidity.

Visa has joined a $4.5 million seed round for HoneyCoin, a payments orchestration startup that bridges stablecoins and traditional banking infrastructure. The investment, led by Flourish Ventures with participation from TLcom Capital, the Stellar Development Foundation, Lava, Musha Ventures, 4DX Ventures, and Antler, underscores Visa's push towards programmable settlement [1].

Founded in 2020 by David Nandwa, HoneyCoin offers an API-driven platform that allows businesses to collect payments, settle in real-time via stablecoins or fiat, and open bank accounts, debit cards, or wallets across 45 markets. The company processes over $150 million in monthly transaction volume, serving 350+ enterprise clients and hundreds of thousands of consumers through its flagship app, Peer. Notable clients include Cedar Money, TerraPay, and Jiji [1].

HoneyCoin's platform provides a single, compliant gateway to both stablecoins and traditional rails, enabling businesses to choose the faster and cheaper option. The startup's mission is to build the "operating system for money," akin to how Apple redefined computing and Visa transformed global commerce [1].

The investment in HoneyCoin aligns with Visa's broader strategy to enhance stablecoin on- and off-ramps, particularly in emerging markets where traditional banking infrastructure is sparse. The Stellar Development Foundation's involvement is also strategic, as it has been building out USDC on the Stellar network for cross-border payments [1].

The funding will support HoneyCoin's expansion, including bolstering its team, enhancing compliance and licensing, and refining its product suite for payment service providers and enterprises seeking compliant access to stablecoin settlement rails and FX liquidity [1].

References:
[1] https://financefeeds.com/visa-invests-in-honeycoin-to-boost-stablecoin-on-and-off-ramps/