Exclusive: Paxos Labs raises $12 million after startup spins off from veteran stablecoin issuer

Paxos, the stablecoin and blockchain infrastructure firm, has long worked with major companies like PayPal and Nubank. More recently, Paxos created a spin-off operation known as Paxos Labs that has a focus on the specialized world of DeFi and helps companies offer their retail customers access to stablecoins and crypto lending protocols.

On Tuesday, Paxos Labs announced that it raised a $12 million funding round led by longtime crypto venture investor Blockchain Capital, and with participation from Robot Ventures; the family office Maelstrom; and the DeFi developer Uniswap Labs. Bhaumik Kotecha, cofounder of Paxos Labs, declined to say at what valuation Paxos Labs raised the capital. Chad Cascarilla, the CEO of Paxos, is also the CEO of Paxos Labs.

“The tech makes it easier for [customers] to integrate, and they don’t have to figure out all the smart contracts themselves,” said Kotecha. “But........

© Fortune