Tether, the world’s largest cryptocurrency company by market cap, has led a $25 million Series A funding round for Oobit, a company dedicated to simplifying crypto payments. This investment marks a pivotal step towards integrating cryptocurrencies into everyday transactions, enabling crypto holders to use their digital assets at over 100 million retailers worldwide. The funding round also saw contributions from notable investors, including CMCC Global’s Titan Fund, 468 Capital, and Anatoly Yakovenko, the co-founder of Solana (SOL).
Oobit’s Journey and Tether’s Strategic Vision
Oobit, known for its innovative mobile payments app, has been at the forefront of bridging the gap between cryptocurrency and traditional commerce. The app allows users to “Tap and Pay” using cryptocurrencies at any retailer accepting Visa and Mastercard. This capability significantly broadens the usability of cryptocurrencies, making them a more viable option for everyday transactions. Before this funding round, Oobit had raised $3 million in a seed round in December 2020, bringing its total raised funds to $28 million.
Tether’s investment in Oobit underscores its commitment to fostering the adoption of cryptocurrency on a global scale. Paolo Ardoino, CEO of Tether, highlighted the investment as a cornerstone in the company’s strategy to onboard new users into the cryptocurrency ecosystem.
With a market cap exceeding $96 billion, Tether has recently reported a record-breaking $2.85 billion in net profits for Q4 2023, showcasing the company’s robust financial health and capacity to invest in ventures that align with its vision for the crypto industry. Besides its core operations, Tether has diversified its investments into bitcoin mining, AI infrastructure, and P2P telecommunications, reflecting its broader commitment to technological innovation.
Enhancing Crypto Payments Accessibility
Oobit’s platform is poised for a significant update to enhance the flexibility of crypto payments further. The upcoming feature aims to enable merchants to receive fiat currency instantly while customers pay using their preferred cryptocurrencies.
This seamless conversion promises to address one of the major hurdles in adopting crypto payments by reducing the volatility risk for merchants. Consequently, this feature could lead to a wider acceptance of cryptocurrencies as a standard payment method across millions of retailers globally.
Furthermore, the Oobit app, available on the Apple App Store and Google Play, supports payments via Tether, Bitcoin, and other digital assets through its native crypto wallet. This integration facilitates a more inclusive ecosystem where users can easily manage and spend their cryptocurrencies, reinforcing the vision of a world where digital and traditional finance converge.