XREX Exchange Receives $60 Million Strategic Investment in Pre-Series A-2 Round
Tether, the leading issuer of the global stablecoin USDT, has announced a strategic investment of $18.75 million (approximately NT$600 million) in XREX Group. This collaboration aims to drive innovation in the digital asset industry, accelerate the adoption of Tether’s USDT for cross-border payments in emerging markets, and foster advancements in regulatory technology (RegTech).
This investment marks XREX Group’s Pre-Series A-2 round. Since its establishment in 2018, XREX has successfully raised over $42 million in funding, including $7 million in seed funding and $17 million in Pre-Series A-1 funding, in addition to Tether’s recent investment.
Tether, currently generating over $4.5 billion in quarterly profits and holding more than $90 billion in US Treasury bonds, has a global circulation value of over $100 billion for its stablecoin USDT, making it a leader in the cryptocurrency industry.
Paolo Ardoino, CEO of Tether, stated, “Tether’s strategic investment in XREX Group demonstrates our unwavering commitment to promoting inclusive finance in emerging markets. By partnering with XREX, we will lead breakthrough innovations, including the issuance of a unique unit currency by the Unitas Foundation, and further popularize cross-border payments based on USDT, setting new benchmarks for financial inclusion and transaction efficiency in emerging markets. Tether’s long-term vision is to establish a robust infrastructure that extends beyond the cryptocurrency market, as reflected in this latest investment, just like our diversified investments in different industries.”
With the infusion of funds from Tether, XREX will deepen its presence in emerging markets and drive compliant enterprise-level (B2B) cross-border payments. By leveraging USDT as the core foundation, XREX aims to provide businesses with more convenient, efficient, and cost-effective services, thereby transforming financial transactions in emerging markets.
Furthermore, XREX will collaborate with the Unitas Foundation to launch XAU1, a unit currency backed by TetherGold and pegged to the value of the US dollar. XAU1 will offer stablecoin users a robust financial alternative and serve as a hedge against inflation.
The partnership between Tether and XREX will also promote innovative products and services in regulatory technology, strengthening the detection and prevention of illicit activities involving stablecoins. Tether’s commitment to financial due diligence governance aligns with XREX’s mission to create a secure, seamless, and trustworthy environment for cryptocurrency users in emerging markets, making their goals highly compatible.
In addition to the strategic investment, XREX will issue ordinary shares to team members, attracting top talent to join the company.
This inclusive financial movement driven by stablecoins will bring long-term and positive changes to existing international clearing and settlement systems.
XREX’s impressive lineup of investors includes the National Development Fund of the Executive Yuan, China Development Industrial Bank, SBI Investment, Yuanta Ventures, ThreeD Capital, Zeroth.AI, Wistron Corporation, and New Economy Ventures. With the addition of Tether, the leading issuer of global stablecoins, XREX’s future development holds even greater promise.
Recently, XREX obtained a Major Payment Institution (MPI) license from the Monetary Authority of Singapore (MAS). It has also become a qualified entity by complying with the Anti-Money Laundering and Countering Financing of Terrorism regulations in Taiwan.
The announcement of this investment further demonstrates Tether’s relentless efforts to promote the adoption of cryptocurrencies in global emerging markets. It also provides solid support to those who share Tether’s vision of creating a more interconnected and inclusive financial environment but have been underserved.