Tether Invests in Kotani Pay to Boost African Digital Payments
Tether, the world’s leading stablecoin issuer, is celebrating its 500 million user milestone. The company is now focusing on Africa by investing in Kotani Pay, a Kenya-based fintech firm. This move aims to make international money transfers cheaper and faster for small businesses and individuals.
On October 21, Tether announced its strategic investment in Kotani Pay. This deal will integrate USDT with local payment methods, reducing cross-border transaction costs.
Kotani Pay specializes in connecting digital assets like USDT with mobile money and bank transfers. CEO Paolo Ardoino says the investment aligns with Tether’s goal to reduce cross-border transaction friction.
Kotani Pay builds bridges between digital assets and local payment methods. CEO Paolo Ardoino stated, “Kotani Pay’s vision and regional presence make it the right fit to drive our shared goals in Africa and beyond.”
Tether’s investment comes as the company marks another milestone. It now facilitates transactions for over 500 million people worldwide, aligning with Tether’s goal to reduce cross-border transaction friction. The firm sees Africa as its next growth area. A Chainalysis report shows a 52% increase in on-chain transaction volume across Sub-Saharan Africa, surpassing $205 billion in a year.
Small business owners and individuals in Africa are turning to digital assets as a lifeline. They face challenges like soaring inflation and unpredictable local currencies. tether released a short documentary from Kenya, highlighting local merchants using USDT to pay international suppliers and families relying on it for remittances.
