Stablecoin issuer Tether announced on Wednesday (5th) that it will invest $18.75 million (approximately 600 million New Taiwan dollars) in the regulated Taiwanese blockchain fintech firm XREX Group. This collaboration aims to promote innovation in the digital asset industry, facilitate cross-border payments based on the US dollar-pegged stablecoin USDT in emerging markets, and improve regulatory technology.
According to the press release issued by Tether, with the funding support from Tether, XREX will facilitate compliant cross-border B2B payments based on USDT in emerging markets. This collaboration will revolutionize financial transactions by providing businesses with enhanced convenience, efficiency, and potential cost savings.
In addition, XREX will also collaborate with the Unitas Foundation to launch the unit stablecoin “XAU1” pegged to the US dollar. This stablecoin will be backed by Tether Gold (XAUt), a tokenized gold reserve, and will provide customers with a stable alternative and a hedging tool against inflation.
The partnership between Tether and XREX will also drive innovation in regulatory technology (RegTech) and strengthen solutions for detecting and preventing the illicit use of stablecoins. Paolo Ardoino, the CEO of Tether, stated:
“We are excited to collaborate with XREX in advancing the adoption and development of digital assets in emerging markets. This partnership will not only facilitate cross-border payments but also contribute to the improvement of regulatory technology.”
Huang Yaowen, the CEO of XREX Group, expressed:
“We are delighted to have Tether’s support in our mission to revolutionize B2B payments in emerging markets. By leveraging the benefits of USDT and introducing our unit stablecoin XAU1, we aim to provide our clients with stability and innovative tools to navigate the financial landscape.”
