OpenFX, a fintech startup that aims to modernize foreign exchange markets, raised $94 million in new funding as it seeks to expand the use of stablecoins in global payments.
The round was led by Accel, Lightspeed Faction, M13, Northzone and Pantera, and values the company at around $500 million, Reuters reported, citing sources familiar with the process.
Founded in 2024 by Prabhakar Reddy, OpenFX helps move large amounts of money across borders using stablecoins. The company acts as a bridge between traditional banking avenues and digital assets, allowing for faster and cheaper currency conversions.
Reddy was inspired to start OpenFX after witnessing long queues at Western Union outlets in Dubai, the report notes. While small transfers have improved, he noted significant inefficiencies when companies attempted to move sums in the range of $1 million to $10 million.
OpenFX says it now handles more than $45 billion in annualized payment volume, up from $4 billion a year ago. Its clients include neobanks, payroll platforms and remittance providers.
With the new funding, the company plans to expand to Southeast Asia and Latin America, two regions where the use of stablecoins is growing rapidly. OpenFX currently operates in the US, UK, UAE and India.
