In a significant move for institutional blockchain adoption globally, XDC Ventures, the investment arm of XDC Network has recently acquired Contour Network, a global trade platform recognized for digitalizing letters of credit (LCs). Alongside this acquisition, XDC Ventures has also launched a Stable-Coin Lab, a part of its forward-thinking plan to merge traditional finance (TradFi) infrastructure with regulatory-compliant Web3 rails.
Backed by a consortium of global banks, Contour Network was designed to pioneer digital LCs, slashing document processing time from days to a few hours. Despite this breakthrough, the platform struggled to scale commercially. However, under XDC Ventures, it will be rebuilt as a global settlement hub, leveraging blockchain programmability and regulated stablecoins to create real-time trade finance.
“By combining Contour’s global LC consortium with the XDC Network’s hybrid blockchain and Web3 ecosystem, we’re creating the most powerful institutional gateway for tokenized trade-finance and cross-border settlement”, Atul Khekade (Co-founder of XDC Network and XDC Ventures) says.
This purchase will position XDC Network as the premier blockchain infrastructure for institutional cross-border trade finance and real-world assets (RWA), making it a reputable Web3 powerhouse for banks, corporations, and regulators.
The Stable-Coin Lab: Policy to Product
At the core of Contour’s restructuring is the launch of the Stable-Coin Lab, a dedicated framework committed to testing and scaling regulatory-compliant stablecoin-based trade finance. It will run a pilot with banks and other corporate financial institutions for regulated stablecoin issuance and settlement, providing hands-on experience under certain frameworks, such as the Genius Act.
Other initiatives include optimizing treasury operations to improve working capital efficiency, developing API-based LC settlement tools that cut processing time from days to near real-time, and building programmable stablecoins with embedded escrow and compliance.
“Banks need settlement rails, treasury optimization, and compliance frameworks. We’re building all three. We see Contour not only as a trade-finance network but as an enabler of compliant stable-coin use-cases that can deliver new efficiencies and revenue streams for banks and corporates,” Ritesh Kakkad (Co-founder of XDC Network and XDC Ventures) says.
Through Circle’s newly announced USDC support, Contour will leverage and have unlimited access to a regulated stablecoin for various payment settlements, on/off ramps, and a bridge from LC to real-time digital settlement.
Contour’s integration with the XDC Network infrastructure trusted by partners like SBI Japan, Deutsche Telekom, and TradeTrust will deliver a credible and compliant route to adopt blockchain without depending on existing platforms. At the moment, immediate priorities include setting up a Stable-Coin Lab, rolling out API-driven LC settlements, integrating XDC with Corda workflows, and collaborating with regulators.
In addition to this, XDC Ventures has secured commitments from strategic funds to accelerate Contour’s planned expansion.
Trade Finance at Crossroads
Trade finance, the $5 trillion engine of global commerce has been encumbered by prevalent inefficiencies. Transactions largely rely on paper, manual verification, and slow cross-border payments. Blockchain’s promise lies in solving these existing frictions. Smart contracts, for example, can automate document exchange and risk checks, tokenization improves liquidity, and stablecoins enable instant settlements. Yet, institutional adoption lagged due to regulatory uncertainty and fragmented standards.
The XDC Ventures acquisition of Contour attempts to bridge, not disrupt. By re-engineering a proven TradFi platform within a compliant blockchain environment, it could demonstrate how Web3 utility enhances rather than replaces existing systems.
If successful, XDC Ventures’ acquisition could spark a new wave of digitalization in trade. Tokenized LCs and other deliverables could be financed, collateralized, or traded in near real-time. Banks could gain revenue from compliant digital settlement services while regulators benefit from transparency. With Contour’s revival and the launch of the Stable-Coin Lab, XDC Ventures isn’t simply modernizing a legacy process it’s rebuilding the infrastructure of global trade for the programmable era.
