Paradigm Leads $9 Million Round in El Dorado Stablecoin App
Paradigm Leads $9 Million Funding Round in El Dorado – Stablecoin Payments App Expands Dollar Access in Latin America
Key Takeaways
- Paradigm has led a funding round of approximately $9 million in Latin American stablecoin app El Dorado.
- El Dorado says it has surpassed one million users across multiple countries in the region.
- The app enables users to buy, hold and transfer digital dollars, primarily USDT, through local payment channels.
- El Dorado operates in Argentina, Bolivia, Brazil, Colombia, Panama and Peru, and previously wound down operations in Venezuela.
- The full investor list, valuation and intended use of proceeds have not been disclosed.
Paradigm Leads New Investment in Latin American Stablecoin Platform
Paradigm has led a funding round of roughly $9 million in El Dorado, a stablecoin-powered payments application focused on Latin America. The transaction was reported by The Block and marks another investment by the venture capital firm in crypto-based payment infrastructure.
Neither Paradigm nor El Dorado have published detailed public statements on the financing. According to the report, additional information such as the company’s valuation, the complete list of investors and the specific allocation of the new capital has not been disclosed.
The investment places El Dorado among a growing group of companies building payment applications around dollar-pegged stablecoins in emerging markets.
El Dorado’s Product: Peer-to-Peer Marketplace and Stablecoin Payments
El Dorado operates a peer-to-peer marketplace and a broader payments application that allows users to buy, hold and send digital dollars. The platform relies primarily on Tether’s USDT stablecoin, while also supporting Mountain Protocol’s USDM.
The company describes its product as a SuperApp that integrates stablecoins with dozens of local payment channels. Users can move value between bank applications, cash networks and digital wallets within the app’s supported countries.
One of the core features is El Dorado Pay, which enables instant transfers between users. Settlement is routed through USDT on the Arbitrum network, a design choice intended to reduce transaction costs. By combining peer-to-peer exchange functionality with payment services, El Dorado has expanded beyond its original marketplace model into a more comprehensive payments stack.
According to the company, the app has crossed the milestone of one million users across Latin America.
Geographic Focus and Market Conditions in Latin America
El Dorado targets markets where access to US dollars can be limited by capital controls, inflation and restricted banking coverage. The app currently connects stablecoins to local payment rails in Argentina, Bolivia, Brazil, Colombia, Panama and Peru.
The company previously operated in Venezuela, which had been described as one of its strongest markets. It has since wound down operations there. No further details were provided regarding the reasons for that decision.
By linking USDT and other dollar tokens to domestic financial channels, El Dorado positions its service as a bridge between digital dollar assets and everyday payment infrastructure. This model allows users to convert between local currencies and stablecoins and transfer funds within the app’s ecosystem.
Previous Funding and Investor Background
This latest round follows a $3 million seed raise completed in 2024. That round was led by Multicoin Capital and included participation from Coinbase Ventures, UC Berkeley SkyDeck and Awesome People Ventures.
Paradigm’s involvement in the new financing continues its activity in crypto payments and decentralized finance. In December, the firm made its first investment in Brazil by committing $13.5 million to Crown, a startup issuing a Brazilian real stablecoin for institutional use.
More recently, Paradigm co-led a $175 million funding round in the lending protocol Morpho alongside a16z Crypto and Ribbit Capital. That transaction was described as one of the largest fundraises in decentralized finance to date.
The El Dorado investment therefore fits into a broader pattern of backing projects that focus on tokenized assets, stablecoins and payment infrastructure.
Competition in Latin America’s Stablecoin Payments Segment
Latin America has become an active market for stablecoin-based payment solutions. Established remittance and payment companies have also introduced blockchain-related initiatives in the region.
Western Union recently made its USDPT stablecoin available through Bybit’s fiat channels in Latin America. In addition, MoneyGram has signed on as an anchor remittance validator on the Tempo blockchain.
El Dorado’s model differs in that it operates as a crypto-native application rather than as an extension of a traditional remittance provider. The company aims to facilitate everyday dollar transactions within its supported countries through a dedicated app built around stablecoins.
The presence of both crypto-native startups and established financial companies underscores the level of activity in the region’s digital dollar market.
Our Assessment
Paradigm’s approximately $9 million investment in El Dorado provides additional capital to a stablecoin payments app that reports more than one million users in Latin America. The company connects USDT and other dollar tokens to local payment channels in six countries and has expanded from a peer-to-peer exchange into a broader payments platform. While financial details of the round remain limited, the deal aligns with Paradigm’s recent investments in stablecoins, tokenized assets and crypto-based financial infrastructure in emerging markets.
