Citigroup Warned Stablecoins Could Drain Banks, Now Invests In Their Infrastructure
Citigroup has invested in stablecoin infrastructure provider BVNK through Citi Ventures, just months after warning that the cryptos could drain deposits from traditional banks BVNK’s platform serves as an onramp and offramp for customers to move money between fiat and crypto. It is also backed by US crypto exchange Coinbase and fund manager Tiger Global Management. The investment underscores TradFi’s shift from caution to participation in the stablecoin ecosystem after the US GENIUS Act provided regulatory clarity over their status. BVNK Valuation Exceeds $750 Million After Citi Investment T he company has declined to disclose the amount Citi invested or at what valuation. But co-founder Chris Harmse recently confirmed that the investment has pushed its valuation well above the $750 million that was disclosed at its latest funding round. BVNK currently finds itself in a competitive market alongside newcomers such as Alchemy Pay, TripleA and even the well established Rip...
