Crypto venture capital is moving away from Web3; $NFT Projects towards stablecoin infrastructure are being driven forward as investors prioritize real-world practicality. The move comes as stablecoin trading volume surges to nearly $33 trillion in 2025, highlighting the growing demand for reliable blockchain-based payments.
VCs move away from Web3 projects in search of stablecoin reliability
Sources say that as of March 27, 2026, venture capitalists (VCs) are transitioning from speculative Web3 projects and NFTs to stablecoin infrastructure and payments, promoting fast and reliable cross-border cryptocurrency transactions and facilitating the next wave of practical cryptocurrency adoption.
After 2022, funding for crypto ventures will cool down, with Web3 apps and non-financial blockchain projects considered uninvestable. VCs are currently backing stablecoin-based fintech projects that bridge digital assets and traditional finance.
For example, venture capital is backing stablecoin infrastructure. KAST, a stablecoin-powered payments platform, raised $80 million in Series A on March 9, 2026, with Left Lane Capital valuing the company at $600 million with participation from Peak XV Partners, HSG, and DST Global Partners.
Other deals illustrating this trend include Rain raising $250 million in Series C at a valuation of $1.95 billion, BVNK securing $50 million in Series B, Coinflow closing a $25 million Series A, and Stripe acquiring stablecoin payments company Bridge for $1.1 billion.
How stablecoins attract venture capitalists (VC)
Stablecoins attract investors because they offer reliable payments and low volatility. Using them for payments, remittances, and financial management creates a recurring revenue model.
Furthermore, regulatory clarity such as the GENIUS Act passed in 2025 and parallel frameworks in the EU, Asia and other regions has reduced risks in this area and opened doors for banks and incumbents.
The trading volume of stablecoins will reach approximately $33 trillion in 2025, an increase of approximately 72% from the previous year. This throughput is comparable to major payment networks and highlights growing real-world adoption.
What are the implications for stablecoins and crypto finance?
The proliferation of VCs into stablecoin infrastructure is driving the maturation of cryptofinance, with stablecoins becoming the core financial conduit for global payments, treasury management, and cross-border payments.
Notably, Standard Chartered Bank predicts that the stablecoin market will reach $2 trillion by the end of 2028, reinforcing long-term growth potential that has drawn VC interest to reliable infrastructure rather than speculative Web3 projects.
Broader effects therefore include deeper institutional adoption and mobility. Stablecoins currently account for around 30% of on-chain cryptocurrency trading volume, serving as the gateway to everything from DeFi to real-world assets and tokenized treasuries.
Related: What will happen to the virtual currency market if the AI bubble bursts?

