Foresight Ventures, a global crypto VC firm, announced the launch of a $50 million "Stablecoin Infrastructure Fund" on Oct. 1.
It is the industry's first dedicated vehicle focused on the entire stablecoin value chain, the firm said.
To put it simply, a stablecoin is a type of cryptocurrency that, unlike traditionally volatile cryptocurrencies like Bitcoin and Ethereum , tries to keep its price stable by being pegged to a fiat currency or a commodity.
As per DeFiLlama , the total stablecoin market cap stood at $298.86 billion at the time of writing.
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Foresight Ventures' fund will target stablecoin projects involved in issuance, coordination, exchange, on/off-ramps, and payment-focused blockchains. It will also support projects involving the interaction of stablecoins with real-world assets (RWA), artificial intelligence (AI), on-chain foreign exchange (FX), etc.
"Stablecoins are no longer peripheral — they are fast becoming the backbone of modern payments," said Alice Li, managing partner of Foresight Ventures.
"With this dedicated fund, we aim to accelerate their integration into the traditional financial framework in a way that is seamless, compliant, and scalable, enabling mass adoption worldwide."
The VC firm said it believes that stablecoins are rapidly cementing their position as the settlement layer of global finance and has invested in several stablecoin projects such as Ethena, Noble, Codex, Agora, and WSPN since 2023.
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Emergence of app‑specific stablecoin chains
The VC firm recently published a report that shed light on two forces turning stablecoins into "the backbone of a global payments rail."
One, traditional financial (TradFi) institutions seek economical and faster cross‑border settlements.
Two, Web3 applications are targeting mainstream financial use cases.
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The volatile gas fees and slower speed of layer‑1 blockchains such as Ethereum and Tron have led to an emerging shift toward app‑specific chains such as Plasma, Stable, Codex, etc., the report underlined.
These chains turn stablecoins into "everyday money" by offering dollar‑denominated fees, millisecond‑level confirmation and built‑in compliance, it added.
This story was originally reported by TheStreet on Oct 1, 2025, where it first appeared in the MARKETS section. Add TheStreet as a Preferred Source by clicking here.
