Traces on ultrapowers of C*-algebras

Using Cuntz semigroup techniques, we characterize when limit traces are dense in the space of all traces on a free ultrapower of a C*-algebra. More generally, we consider density of limit quasitraces on ultraproducts of C*-algebras. Quite unexpectedly, we obtain as an application that every simple C*-algebra that is (m,n)-pure in the sense of Winter is already pure. As another application, we provide a partial verification of the first Blackadar-Handelman conjecture on dimension functions. Crucial ingredients in our proof are new Hahn-Banach type separation theorems for noncancellative cones, which in particular apply to the cone of extended-valued traces on a C*-algebra.