Feb 5, 2024 - Business

Stablecoin giant Tether leads $25 million Series A for Oobit

Illustration of a pixelated coin sticking out of a pixelated wallet.

Illustration: Megan Robinson/Axios

Mobile payment app Oobit raised $25 million in Series A funding led by stablecoin giant Tether.

Why it matters: Tether's Oobit buy-in shows the USDT issuer's ambitions to make crypto useful in the global payments realm.

Catch up fast: Oobit launched in June 2017 to make paying for things with crypto easier.

  • Its mobile app contains a tap-to-pay feature, allowing people to pay with funds from their digital wallet at stores that accept Visa or MasterCard.
  • It also has a Ethereum-based token called OBT, which passes on rewards and other perks to holders.

What they're saying: "Tether's strategic investment in Oobit underscores our unwavering dedication to welcoming new users into the cryptocurrency ecosystem," Paolo Ardoino, CEO of Tether, said in a statement.

Details: Other investors in the round include CMCC Global's Titan Fund, 468 Capital, and Anatoly Yakovenko, co-founder of Solana.

Of note: This isn't the only startup to bring credit-card like functionality to blockchains. Flexa, for example, was an early entrant to that space.

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