Tether has invested in the Y-Combinator-backed fintech LemFi, as the stablecoin issuer expands its cross-border settlement services across Africa and Asia.
"Our investment in LemFi reflects our shared vision on how money moves across borders, prioritizing speed, cost, and transparency," Tether CEO Paolo Ardoino said in a statement. "By supporting LemFi’s growth and innovation roadmap, we are helping bring the benefits of a stable digital asset to more people who rely on remittances in their daily lives."
Founded in 2021, LemFi has raised $85 million, according to a company statement. LemFi says it has over 1 million customers.
Part of Tether's investment involves LemFi integrating the stablecoin issuer's settlement rails. Tether's stablecoin, USDT, will be used as a settlement layer across "key corridors" in Africa and Asia where LemFi operates. The goal is to reduce LemFi's dependence on traditional payment networks like SWIFT.
The amount of Tether's investment was not disclosed.
