Stablecoin issuer Tether announced on Wednesday that it will strategically 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 in emerging markets based on the US dollar stablecoin USDT, and enhance regulatory technology.
According to a press release from Tether, with funding support from Tether, XREX will promote compliant cross-border B2B payments based on USDT in emerging markets, revolutionizing financial transactions by providing businesses with greater convenience, efficiency, and potential cost savings.
Furthermore, XREX will also collaborate with the Unitas Foundation to launch the USD-pegged unit stablecoin “XAU1,” backed by tokenized gold Tether Gold (XAUt) in excess reserves, offering customers a stable alternative and a hedge against inflation.
The partnership between Tether and XREX will also drive innovation in Regulatory Technology (RegTech), enhancing solutions for detecting and preventing the illegal use of stablecoins. Tether CEO Paolo Ardoino stated that this collaboration will contribute to the advancement of RegTech.
XREX Group CEO Wayne Huang expressed: