When magnetic atoms are inserted inside a superconductor, the superconducting order is locally depleted as a result of the antagonistic nature of magnetism and superconductivity 1 . Thereby, distinctive spectral features, known as Yu-Shiba-Rusinov states, appear inside the superconducting gap 2-4 . The search for Yu-Shiba-Rusinov states in different materials is intense, as they can be used as building blocks to promote Majorana modes 5 suitable for topological quantum computing 6 . Here we report the first realization of Yu-Shiba-Rusinov states in graphene, a non-superconducting 2D material, and without the participation of magnetic atoms. We induce superconductivity in graphene by proximity effect 7-9 brought by adsorbing nanometer scale superconducting Pb islands. Using scanning tunneling microscopy and spectroscopy we measure the superconducting proximity gap in graphene and we visualize Yu-Shiba-Rusinov states in graphene grain boundaries. Our results reveal the very special nature of those Yu-Shiba-Rusinov states, which extends more than 20 nm away from the grain boundaries. These observations provide the long sought experimental confirmation that graphene grain boundaries host local magnetic moments 10-14 and constitute the first observation of Yu-Shiba-Rusinov states in a chemically pure system. Superconducting (SC) order arises in many materials because of the formation of a coherent many-body state of electrons pairs with zero spin 15 . The addition or removal of one electron from this state, resulting in an unpaired electron, costs a small energy gap associated to the