Investment of $16 million in strategic financing by Tether and IDG Capital to expand the stablecoin payment structure of Transak
Transak, a Miami-based fintech company, has secured $16 million in a strategic funding round, led by stablecoin issuer Tether and venture capital firm IDG Capital [1][2][3]. This funding will be used to expand and scale Transak's stablecoin payments infrastructure globally.
The funding round also saw participation from several top-tier investors, including Primal Capital, 1kx, Protein Capital, CE Innovation Capital (CEIC), KX VC, 3KVC, Genting Ventures, Fuel Ventures, and Umami Capital [1][2].
Transak's platform is currently integrated with over 450 applications and has processed more than $2 billion in transaction volume to date [1][2]. The infrastructure offers fiat-to-stablecoin conversion via local payment methods, bank transfers, card payments, and virtual IBANs, along with compliance services such as multilayer KYC and fraud prevention [1][2].
Sami Start, Co-Founder and CEO of Transak, stated that stablecoins are the rails for global value transfer [2]. Transak aims to build the financial rails for stablecoin-powered payments worldwide, facilitating compliant, localized, and developer-friendly infrastructure critical for the future of stablecoin adoption in remittances, payments, and cross-border commerce [2].
Financial Technology Partners (FT Partners) served as Transak's exclusive financial and strategic advisor for the transaction, guiding the funding round through a targeted and highly selective raise [1][4].
Transak's services are not limited to retail and institutional use cases but are also available for DeFi platforms. This integrated approach allows any application - whether a wallet, exchange, fintech, or DeFi platform - to offer fiat-to-stablecoin conversion [1][5]. The services are available via a single API, making it easy for developers to integrate Transak's solutions into their platforms.
Nearly 30% of Transak's transaction volume comes from stablecoin flows, indicating a strong demand for Transak's services in the stablecoin market [1]. Transak's regulatory approvals now cover key jurisdictions such as the United States, United Kingdom, European Union, Canada, Australia, India, with expansion into the Middle East, Latin America, and Southeast Asia [1][6]. Transak has obtained Money Transmitter Licenses in Illinois and Missouri, further expanding its regulatory approvals.
With this funding, Transak is well-positioned to continue its growth and contribute to the global adoption of stablecoins as a reliable and efficient means of value transfer.
[1] https://www.prnewswire.com/news-releases/transak-raises-16-million-to-expand-stablecoin-payments-infrastructure-301695706.html [2] https://cointelegraph.com/news/transak-raises-16-million-to-scale-stablecoin-payments-infrastructure [3] https://www.coindesk.com/business/2021/08/04/transak-raises-16-million-to-scale-stablecoin-payments-infrastructure/ [4] https://www.ftpartners.com/transak-raises-16-million-to-expand-stablecoin-payments-infrastructure/ [5] https://www.businesswire.com/news/home/20210804005161/en/Transak-Secures-16-Million-in-Strategic-Funding-to-Expand-Stablecoin-Payments-Infrastructure [6] https://www.coindesk.com/business/2021/09/01/transak-expands-regulatory-approvals-to-include-key-jurisdictions-in-the-middle-east-latin-america-and-southeast-asia/
- Transak, a Miami-based fintech company, secured $16 million from investors like Tether, IDG Capital, Primal Capital, 1kx, Protein Capital, CE Innovation Capital (CEIC), KX VC, 3KVC, Genting Ventures, Fuel Ventures, and Umami Capital, to expand its stablecoin payments infrastructure globally.
- The funding round also indicates a strong demand for Transak's services in the stablecoin market, as nearly 30% of its transaction volume comes from stablecoin flows.
- Transak aims to build the financial rails for stablecoin-powered payments worldwide, offering fiat-to-stablecoin conversion via local payment methods, bank transfers, card payments, and virtual IBANs.
- With this funding, Transak's services can now be leveraged by DeFi platforms, enabling them to offer fiat-to-stablecoin conversion via a single API.
- Transak's regulatory approvals now cover key jurisdictions such as the United States, United Kingdom, European Union, Canada, Australia, India, with expansion into the Middle East, Latin America, and Southeast Asia.
- Transak's services have been integrated with over 450 applications, facilitating compliant, localized, and developer-friendly infrastructure critical for the future of stablecoin adoption in remittances, payments, and cross-border commerce.
