Latin American digital wallet provider Belo has successfully raised $14 million in a Series A funding round, led by Tether, a prominent stablecoin issuer. The funding round also saw participation from notable investors including Titan Fund, The Venture City, Mindset Ventures, and G2.
The newly acquired funds will be utilized to drive expansion into key markets such as Mexico, Chile, Colombia, Peru, Bolivia, and Paraguay, while bolstering the company's infrastructure across Latin America. Additionally, Belo aims to strengthen its presence in Brazil, focusing on freelancers, remote workers, and individuals who frequently transfer money across borders.
Founded in Buenos Aires in 2021, Belo's digital wallet has garnered a user base of over 3 million individuals across Latin America, allowing them to seamlessly hold and transfer both local currencies and digital dollars. According to CEO Manuel Beaudroit, the company's primary objective with this funding round is to scale its operations, having already achieved three years of profitable operations and developed a product that has become an integral part of users' daily lives.
Stablecoins have experienced significant growth in emerging markets as a viable alternative to traditional banking systems, particularly in regions plagued by high inflation, currency volatility, or limited access to dollar-denominated accounts. In Latin America, stablecoins are frequently used for storing value, sending remittances, and circumventing costly foreign exchange systems.
Belo's innovative approach combines payments, foreign exchange, and cross-border transfers into a single, streamlined process, aiming to reduce friction in a region where transferring money between countries remains a slow and expensive endeavor. By leveraging crypto infrastructure, the company seeks to minimize the reliance on multiple services for sending or receiving funds, thereby reducing costs and delays. The backing from Tether underscores a broader push to expand stablecoin-based payment systems in markets with strong demand for dollar-linked assets.
In an interview with CoinDesk, Beaudroit emphasized Belo's role in a larger shift, where crypto tools are increasingly filling the gaps left by traditional finance, particularly in servicing individuals and businesses. As the company expands its regional footprint, it is also hiring across various departments, including product, engineering, and operations.