XREX Secures $19 Million Investment from Tether to Boost B2B Payments in Emerging Markets

The well-known international cryptocurrency exchange site XREX, founded by Wayne Huang and Winston Hsiao, has raised about $19 million from Tether, the company that created the USDT stablecoin. The goal of this large investment is to improve cross-border business-to-business (B2B) payments in emerging areas using stablecoins.

The Taipei-based company revealed intentions to set aside $18.75 million to support compliant, USDT-based cross-border B2B payments in emerging economies in a press statement dated June 5. This program promises to provide businesses with more simplicity, efficiency, and maybe cheaper prices in an effort to transform financial transactions. In addition, XREX and the Unitas Foundation will introduce XAU1, a stablecoin backed by Tether Gold (XAUt) that will act as an inflation hedge.

Tether CEO Paolo Ardoino emphasized the strategic importance of this collaboration, stating, “Our collaboration with XREX will spearhead several groundbreaking initiatives, including the launch of a unique new unitized stablecoin by the Unitas Foundation and the facilitation of USDT-based cross-border payment, setting a new standard for financial accessibility and efficiency in the region.”

A Growing Portfolio of Strategic Investments

Founded in 2018, XREX has garnered support from various prominent investors, including the Taiwanese Government National Development Fund, CDIB Capital Group, and SBI Holdings. This recent investment follows XREX Singapore’s successful acquisition of a license from the Monetary Authority of Singapore to offer services in the region.

For Tether, this investment is part of a broader strategy to expand its international presence. In early May, Tether announced its entry into Eastern Europe through an investment in the Georgian payment service CityPay. Moreover, Tether signed a memorandum of understanding with RAK Digital Assets Oasis (RAK DAO) to launch several strategic initiatives aimed at promoting the adoption of Bitcoin technology and stablecoins in Ras Al Khaimah (RAK), the northernmost emirate in the UAE.

XREX’s collaboration with Tether and the Unitas Foundation aims to set new standards in financial transactions by enhancing the accessibility and efficiency of cross-border payments. This partnership represents a significant step towards leveraging blockchain technology to provide innovative financial solutions in emerging markets.