Tether, a prominent player in the digital asset market, has announced a new investment of $18.75 million in XREX Group, a fully regulated financial firm based on blockchain technology. This partnership is expected to drive innovation in the digital asset space, particularly in the area of cross-border payments using USDT, and enhance regulatory technology.
Tether’s investment in XREX aims to revolutionize cross-border B2B payments in emerging markets by providing compliant solutions using USDT. This move is anticipated to bring greater convenience, speed, and affordability to businesses conducting financial transactions. Additionally, XREX plans to collaborate with the Unitas Foundation to introduce XAU1, a stablecoin anchored to the US dollar and backed by Tether Gold (XAUt). This stablecoin will offer customers a stable option and a means to safeguard against inflation.
The partnership between Tether and XREX is also expected to drive innovation in Regulatory Technology (RegTech). It will provide solutions to detect and prevent the illicit use of stablecoins, demonstrating Tether’s commitment to responsible financial oversight and XREX’s dedication to creating a safe and trustworthy environment for cryptocurrency users in rapidly growing markets.
Paolo Ardoino, Chairman of Tether, stated that this strategic investment in XREX Group exemplifies Tether’s commitment to promoting financial inclusion and development in emerging markets worldwide. Ardoino also highlighted that the advanced USDT Foundation will develop its unique multifunctional stablecoin and facilitate cross-border USDT-based payments.
The CEO of XREX Group, Wen Huang, acknowledged Tether’s strong support and investment, emphasizing the success of their cooperation in assisting law enforcement authorities. With Tether’s backing, XREX aims to expand into the field of RegTech and address the concerns of many users who view XREX Group as a responsible financial institution.
Winston Xiaojun Hsiao, CRO of XREX Group, expressed gratitude to Tether and other existing investors for their participation in this funding round. Hsiao believes that this investment could bring about positive long-term changes in global clearing and settlement systems.
This announcement highlights Tether’s ongoing efforts to promote cryptocurrency adoption in emerging markets, enabling underserved communities to access a more interconnected and inclusive financial landscape.