Tether Invests $144.5 Billion in Fizen to Boost Stablecoin Adoption

Coin WorldWednesday, Apr 16, 2025 9:01 am ET
2min read

Tether, the world's largest stablecoin provider with a market capitalization of $144.5 billion, has announced a strategic investment in Fizen Limited, a fintech startup known for developing self-custody crypto wallets and user-friendly digital payment tools. This partnership aims to drive the mainstream adoption of stablecoins in everyday commerce, particularly in areas underserved by traditional banking systems.

The collaboration focuses on leveraging Fizen's multi-currency wallet platform to simplify the use of digital currencies like USDT (Tether) in various transactions. By eliminating the need for complex blockchain interfaces, Fizen's platform ensures a seamless user experience, making crypto payments as intuitive as other mobile payment apps. This initiative is part of Tether's broader effort to accelerate the adoption of stablecoins in real-world scenarios, especially in regions where access to banking services is limited.

According to the World Bank’s Global Findex Report, hundreds of millions of people worldwide lack access to bank accounts due to factors such as long distances to physical banks and stringent documentation requirements. These challenges are more prevalent in developing territories. Tether's investment in Fizen addresses these issues by enhancing the infrastructure of Fizen's blockchain, facilitating greater integration of stablecoins across different ecosystems. Users will be able to store, send, and spend USDT more easily, bypassing conventional identity verification hurdles and infrastructure gaps. The self-custody model empowers users to independently manage their assets, a crucial feature in markets where institutional trust or access is unavailable.

Despite the theoretical benefits of stablecoins, such as lower fees, enhanced security, and nearly instant settlements, their use in everyday transactions remains limited due to low merchant adoption. Fizen's model integrates crypto payments into existing merchant infrastructure, allowing customers to pay with USDT using common methods like QR codes or card readers.

receive fiat instantly, eliminating the need for additional technology or training. This approach aims to make stablecoin payments more appealing to businesses with narrow margins and little technical support, potentially transforming stablecoins into common financial tools in global businesses, especially in retail, hospitality, and services.

Market analysts predict that worldwide QR code payment volumes will exceed $3 trillion in 2024 and reach over 2.2 billion users by 2025. This growth is driven by high smartphone penetration and the increasing need for secure, contactless payments. Fizen's payment solution capitalizes on this trend by enabling users to scan QR codes and fund transactions with stablecoins, while merchants receive instant fiat conversions without volatility or delay. This integration of stablecoins into the QR code payment ecosystem aims to tap into the exploding market, making digital payments more accessible and user-friendly.

Tether Chief Technical Officer Paolo Ardoino highlighted that the investment in Fizen aligns with the company's goal of supporting responsible and practical use cases for digital assets. Self-custodial payment systems are essential for real-world crypto adoption, particularly in regions where

are either unreachable or untrustworthy. By supporting companies like Fizen, Tether is bridging between blockchain innovation and actual financial needs, enhancing USDT's status as the world's most used stablecoin and fueling investor interest in expanding the capabilities of the world's preeminent crypto.

Leo Vu, CEO of Fizen, noted that while stablecoin infrastructure exists, user-friendly applications are lacking. Fizen addresses this gap by making crypto payments intuitive, allowing users to benefit from digital currencies without needing to understand blockchain technology. Tools like USDT are instrumental in bringing financial inclusion to underserved populations, but the final barrier lies in making the experience effortless for both consumers and merchants. The partnership between Tether and Fizen aims to transform stablecoins from speculative assets to everyday financial tools, promoting a more equitable global financial system.

As digital payments evolve, the focus on security, simplicity, and scalability remains key. If successful, this collaboration could inspire similar strategies in the fintech industry, creating a ripple effect across finance and crypto. Together, Tether and Fizen are paving the way for financial freedom with a user-friendly blockchain infrastructure, aiming to make stablecoin payments common in global businesses and drive greater financial inclusion.