How Interlace is Bridging Crypto and Traditional Finance

What if bridging the gap between traditional finance and crypto didn’t have to be so complicated? That’s the problem Interlace is tackling head-on, with a clear focus on compliance, accessibility, and real-world usability. In this conversation, we spoke with Mark Homeier , Chief Business Development Officer at Interlace , about how the company is rethinking financial infrastructure to better serve modern businesses—and why the biggest misconceptions about crypto might be holding the industry back.

What does Interlace believe is the most misunderstood aspect of the intersection between traditional finance and crypto today?

In the last few years, the crypto world has exploded alongside the rise of blockchain technology. But many people still don’t realize that global regulators—like the FATF and the EU’s MiCA framework—have already set clear rules for crypto assets and that tried-and-true compliance tools (like KYC and AML) are widely used in the industry.

As a fintech bridging Web2 and Web3, Interlace knows compliance is a big deal for keeping the crypto space healthy and growing. That’s why we’ve introduced KYT (Know Your Transaction) for crypto deposits, cardholder KYC checks (through API or custodian modes), and a secure, regulation-ready custodial setup across our offerings—CaaS, Global Accounts, and InfinityCard. These steps ensure everything stays transparent and properly managed throughout the entire flow of funds.

What inspired the founding of Interlace, and how has that original vision evolved with market realities?

Michael Wu, the founder of Interlace, graduated from Stanford University and kicked off his entrepreneurial journey while still in college. He’s no stranger to launching startups—in fact, he built a study-abroad service platform and an AI recommendation engine that Google later acquired. 

These hands-on experiences in entrepreneurship, financial management, and capital operations showed him how traditional finance often falls short. Combined with his passion for blockchain, DeFi, and financial inclusivity—and his background as both a serial entrepreneur and a developer—Michael saw firsthand how technology could reshape finance in a big way.

In 2019, he founded Interlace with a mission to bridge the gap between old-school banking and the crypto economy through compliant crypto asset services.

Today, Interlace’s product lineup includes Global Account, InfinityCard, CaaS API, and BaaS API—all connected by the core CryptoConnect infrastructure. This suite of tools gives businesses a one-stop platform for managing both crypto and fiat transactions, transfers, and exchanges. Interlace offers near-instant payments without the usual delays and currency exchange losses you’d expect from traditional banking. 

Because businesses can seamlessly convert between crypto and fiat, they get efficient liquidity management, which is especially crucial for SMEs looking to cut costs and streamline their entry into global financial markets.

What inspired the development of the CaaS, and how do they integrate with existing financial systems?

Interlace introduced CaaS to modernize the traditional card-issuing model. Through extensive client research, we found that card payments play a pivotal role in efficient financial management—covering supplier payments, employee travel expenses, and various service subscriptions. Additionally, platforms such as exchanges and wallets can issue cards to their end-users, thereby diversifying spending options and enhancing liquidity for crypto assets.

However, conventional bank card issuance often involves lengthy qualification processes, extensive documentation, and weeks-long production timelines, all while lacking adequate support for crypto-related transactions.

To overcome the challenges associated with modern card issuance and crypto integration, Interlace developed the CaaS API. This robust solution enables enterprises and organizations to launch comprehensive card issuance systems in as little as two weeks. Covering the full lifecycle—from wallet integration to mass card deployment—the API streamlines and simplifies the entire process.

Key features of the CaaS API include multi-BIN card issuance support, wallet deposit address generation, KYT checks for cryptocurrency deposits, and cardholder KYC verification, offered through API-based or custodial modes. All of this operates on a secure custodial infrastructure designed to meet regulatory standards.

These capabilities ensure complete transparency and compliance across all fund flows. By bridging the gap between Web3 and Web2, Interlace empowers users to seamlessly exchange, spend, and transfer value across both cryptocurrency and fiat ecosystems.

What measures does Interlace take to ensure the scalability and reliability of its financial services for growing businesses?

Interlace delivers secure, reliable, and user-friendly financial services to enterprises through a comprehensive suite of offerings designed to meet the highest standards of compliance, performance, and flexibility.

Interlace is PCI-DSS Level 1 certified, the highest international standard for card payment security, and holds multiple regulatory licenses, including a TCSP license in Hong Kong, an MSB license in the United States, and a VASP license in Lithuania. Alongside these certifications, it operates a bank-grade risk management and anti-money laundering system that ensures secure and fully compliant operations across all services.

All Interlace products are built with security and compliance at their core. They feature multi-layered protections, intelligent risk controls, rigorous compliance reviews, and robust user authentication to safeguard enterprise environments from risk and fraud.

The CryptoConnect infrastructure enables seamless exchange between fiat currencies and cryptocurrencies. It supports the secure storage and transfer of major digital assets such as USDT, USDC, ETH, and BTC while allowing businesses to conduct payments and exchanges in both fiat and crypto. This significantly boosts settlement efficiency and reduces currency exchange losses compared to traditional financial methods.

Interlace also provides a flexible suite of APIs—including CaaS, BaaS, and WaaS — designed for rapid integration. With detailed documentation and enterprise-ready tools, businesses can quickly embed advanced financial features into their existing platforms without heavy R&D or technical overhead.

How does Interlace’s platform assist eSports and digital gaming industries with their unique financial needs?

The eSports and digital gaming industries require financial solutions that can handle high-frequency transactions and enable seamless cross-border settlements. Interlace is transforming the financial landscape for this sector through innovative, purpose-built technology.

Through integration with Interlace’s CaaS API, gaming companies can issue virtual Infinity Cards to players and teams. These cards enable users to purchase in-game items, access tournament tickets, and pay for related services while also serving as an efficient method for distributing prize money.

To ensure secure operations, Interlace incorporates a powerful anti-fraud system capable of detecting and preventing suspicious activity in real-time, including the misuse of stolen game point cards. Its comprehensive compliance framework spans multiple jurisdictions, allowing gaming companies to operate with confidence across global markets such as Europe, Asia, and North America.

Can you explain the process and benefits of Interlace’s affiliate partnership program?

With zero technical barriers, strong global regulatory compliance, and highly competitive revenue-sharing opportunities, the Interlace Alliance Partner Program empowers partners to rapidly grow their customer base by leveraging strategic collaboration and access to Interlace’s full suite of financial products. By offering both Web2 and Web3 infrastructure, the program creates a mutually beneficial environment for all participants.

Partners can apply to join the program through the official Interlace website. Once approved, the Interlace team works closely with each partner to define the scope of collaboration, which may include customer referrals, compliance support, and onboarding assistance. Partners also have the option to refer clients directly to Interlace, where the Business Development team handles contracts, and Interlace manages compliance checks and account setup.

The program offers several key advantages that make it both accessible and rewarding. Partners are not required to manage any technical integration and can focus entirely on client acquisition and relationship management. The Interlace team delivers full support from solution design and compliance audits to customer training, greatly reducing operational burden.

Interlace adheres to regulatory standards in key markets such as Hong Kong, China, and the United States. With built-in AML systems, anti-fraud measures, and KYC validation supported by multiple international licenses, partners can confidently serve clients worldwide without needing to navigate complex regulatory landscapes.

The program’s revenue model is designed to encourage long-term success. Partners benefit from a competitive commission structure with the potential for revenue stacking. When clients adopt multiple Interlace products, partners receive additional commission bonuses, fostering sustained and scalable business growth.

How does Interlace’s CaaS model differ from traditional card issuance services?

Compared to traditional card issuance services, Interlace’s CaaS—Card as a Service—delivers distinct advantages in technical integration, risk management, compliance, and operational flexibility.

Traditional card programs often require businesses to work with banks or financial institutions to build custom systems. This typically involves coordinating with several backend providers, including BIN sponsors, card manufacturers, and payment networks, leading to long deployment timelines and high technical demands. 

In contrast, Interlace’s CaaS API enables businesses to launch full-scale card issuance in as little as two weeks. The solution includes built-in modules for risk control, compliance, settlement, and seamless integration with banks and card issuers. This dramatically reduces technical overhead and allows companies to shift their focus from infrastructure challenges to business growth.

Card issuance also comes with complex regulatory obligations, particularly in anti-fraud and anti-money laundering compliance. Traditional approaches often require building in-house systems and securing various licenses, making the process costly and time-consuming. Interlace simplifies this through integrated KYC, AML, and KYT features. 

With PCI-DSS Level 1 certification and licenses in multiple jurisdictions—including TCSP in Hong Kong, MSB in the United States, and VASP in Lithuania—businesses can meet compliance requirements without the burden of building and maintaining their own regulatory frameworks.

Interlace CaaS supports a wide range of use cases, allowing companies to issue both virtual and physical cards in bulk. These cards can be tailored for purposes like employee spending, supplier payments, business subscriptions, or customer rewards. 

Businesses can also set individual spending limits for each card, helping to streamline reconciliation and accounting processes. Beyond fiat capabilities, Interlace supports cryptocurrency exchange, transfer, and spending, giving enterprises a powerful way to integrate digital assets into everyday operations and lowering the barrier to crypto adoption in real-world business environments.

One example that highlights the impact of Interlace’s solutions is a crypto-enabled online travel agency. This Web3-native platform faced significant challenges with traditional financial systems, particularly around multi-currency management and card issuance.

Conventional banks posed roadblocks by restricting such businesses to fiat-only accounts, extending settlement cycles, and complicating onboarding due to regulatory concerns and perceived risk. With Interlace’s multi-currency support and real-time crypto-to-fiat conversion, the travel agency can now manage both crypto and fiat funds within a single account. This eliminates the need to juggle multiple bank accounts, cuts down on foreign exchange losses, and improves cash flow—an essential improvement for platforms serving global users and merchants.

The agency also needed the ability to issue cards at scale, whether for internal departments or for customer rewards. Traditional banking partners often limit issuance capacity and lack flexibility. By integrating Interlace’s CaaS API, the agency gained the ability to instantly issue an unlimited number of cards, each customized with their brand and tailored for specific budgets or merchant types. This not only improves operational efficiency but also enhances user engagement and brand visibility.

Through these capabilities, Interlace empowers businesses in the Web3 space to overcome traditional financial limitations, streamline payment workflows, and scale rapidly with modern, integrated financial tools.

What role do you think fintechs like Interlace play in reducing financial inequality on a global scale?

As a forward-thinking financial infrastructure bridging Web2 and Web3, Interlace is dismantling traditional financial barriers and driving the future of inclusive, tech-powered finance.

Interlace lowers the barriers to financial access by enabling global integration through its CryptoConnect platform. Businesses of any size can manage both fiat and crypto transactions in one unified space, creating a seamless flow from crypto to fiat to everyday spending. 

With its Card as a Service offering, companies can quickly launch their own card programs using a simple API integration without needing to overhaul their existing tech stack. This makes it easier for SMEs and individuals to access crypto-friendly financial tools, enter global markets, and maintain control over their finances with greater efficiency.

To ease the burden of compliance, Interlace offers built-in regulatory tools that simplify operations from day one. Key features include Know Your Transaction monitoring for crypto deposits, KYC checks for cardholders offered via API or custodian modes, and embedded AML protocols. These solutions ensure that fund flows remain secure and compliant while significantly reducing the time, cost, and complexity typically involved in navigating multi-jurisdictional regulations.

Interlace also helps lower financial costs by enabling real-time crypto transactions. Unlike legacy systems such as SWIFT, which are often slow and expensive, Interlace allows for faster, more direct settlements. This reduces delays that can disrupt cash flow and minimizes excessive fees associated with currency conversion and international transfers.

By addressing these core pain points—accessibility, compliance, and cost—Interlace is paving the way for a more open, efficient, and globally connected financial ecosystem.