Tether, the digital asset firm known for the USDT stablecoin, has unveiled a significant strategic investment and a new stablecoin initiative. The company announced a $18.75 million investment in XREX Group, along with the launch of the XAU1 stablecoin.
According to Tether’s press release, this collaboration aims to enhance cross-border business-to-business (B2B) payments and drive innovation in the digital asset industry and regulatory technology. Paolo Ardonio, Tether’s CEO, commented on the strategic move:
“Our collaboration with XREX will spearhead several ground-breaking initiatives, including the launch of a unique new unitized stablecoin by the Unitas Foundation and the facilitation of USDT-based cross-border payments, setting a new standard for financial accessibility and efficiency in the region.”
The investment in XREX Group will allow the company to enable regulatory-compliant, Tether-based cross-border B2B payments. This development is expected to offer businesses increased efficiency and potentially lower costs for international transactions. Ardonio emphasized the importance of the partnership:
Alongside the investment, XREX will introduce XAU1 in partnership with the Unitas Foundation. XAU1 is a unitized stablecoin pegged to the United States dollar and over-reserved with Tether gold (XAUt). The new stablecoin aims to provide a stable alternative and a hedge against inflation. Wayne Huang, CEO of XREX Group, highlighted the significance of this new offering:
