Augustus raises $180 million for stablecoin-ready bank platform

Augustus said Tuesday it raised $180 million in Series B funding at a $1 billion valuation. For everyday investors watching crypto move closer to mainstream finance, the deal shows how stablecoins are being built into regulated banking systems rather than sitting only on crypto exchanges.

Tiger Global led the round, according to Augustus. The company said Hummingbird and QED also participated, along with the founders of Nubank, Ramp, Circle and Deel.

Augustus said additional backers included Circle co-founder Sean Neville, former Coinbase Chief Technology Officer Balaji Srinivasan and Rain’s Farooq Malik. The startup said it has now raised $210 million in total.

What Augustus is building

Augustus is developing a federally chartered clearing bank designed for stablecoins and programmable money, according to the company. A stablecoin is a digital token built to track the value of another asset, most often the U.S. dollar, so users can move dollar-like value on blockchain networks.

The company is not trying to launch its own stablecoin, according to Augustus. Instead, it is building systems for banks and fintech companies that want to send money through both traditional payment channels and blockchain-based rails.

Its focus is correspondent banking, the behind-the-scenes network that lets financial institutions move money for each other, often across borders. That system can be slow and limited by banking hours, while stablecoin transfers can run around the clock depending on the network and service involved.

Augustus said its API-first platform supports operating accounts and FBO accounts, short for “for benefit of” accounts, which are commonly used to hold customer funds under a company’s name. The platform can settle transactions through Swift, ACH, SEPA and stablecoins, according to Augustus.

The company said the platform runs on Marble, its proprietary core banking system. Augustus said Marble uses artificial intelligence in back-office functions and is intended to support faster settlement and 24/7 availability.

Why stablecoins are pulling in bank-level money

Dollar-linked stablecoins have become a large settlement tool in crypto markets because they let traders and institutions move in and out of positions without touching a bank transfer each time. The broader pitch from companies like Augustus is that the same mechanism can help banks and fintechs move dollars globally with fewer delays.

That is the investor angle: stablecoins are no longer only a crypto-market convenience. They are increasingly being framed as financial infrastructure that can extend access to dollar payments and connect to regulated institutions.

Augustus’ financing follows conditional approval in May for a U.S. national bank charter from the Office of the Comptroller of the Currency, according to the company. Augustus said that made it the eighth bank to receive conditional approval since 2010.

The startup already serves crypto exchange Kraken, according to Augustus.

Ferdinand Dabitz, Augustus’ CEO and co-founder, said the company started from the view that access to the dollar remains difficult outside core markets. “This financing lets us execute on our mission to provide high-quality dollar access to international fintechs and banks,” Dabitz said.

Augustus also described its strategy in geopolitical terms, pointing to China’s digital yuan and Russia’s proposed BRICS Pay as challenges to Western currency influence. The company said it plans to use the new capital to expand in Latin America, Southeast Asia, the Middle East and Africa, regions where it says access to dollars remains constrained.

This story draws on original reporting from Decrypt.