Tether just wrote a $7 million check to make its US-focused stablecoin harder to ignore. The company led a Series A funding round in Pact Labs, a firm that connects fintech services with blockchain-based liquidity for things like payroll, payments, and asset-based lending.
The investment is squarely aimed at scaling USA₮, Tether’s federally regulated dollar-backed stablecoin designed specifically for the American market.
What Pact Labs actually does
Pact Labs sits at the intersection of traditional fintech and on-chain finance. The company claims to have facilitated nearly $2 billion in loan volumes through smart contracts on the blockchain, with over $1 billion in loan originations.
Pact Labs reportedly serves a network of more than 500,000 users across seven fintech partners, acting as the behind-the-scenes infrastructure that lets fintech apps tap into blockchain liquidity without requiring their end users to understand what a blockchain even is.
