Tether Invests in Shiga Digital to Boost Africa’s Blockchain Financial Services

Tether, a leading stablecoin issuer, has taken a significant step to enhance its presence in Africa by investing in Shiga Digital. This strategic investment is aimed at developing blockchain-based financial services tailored for African countries, enabling businesses to send and receive money globally using Tether’s USDT stablecoin. The collaboration between Tether and Shiga Digital is poised to revolutionize cross-border transactions and liquidity access for African enterprises.

Paolo Ardoino, the CEO of Tether, highlighted the transformative potential of stablecoins in Africa’s financial landscape. He stated, “At Tether, we believe stablecoins are the heartbeat of financial transformation.” By partnering with Shiga Digital, Tether aims to provide streamlined financial services that bypass traditional banking systems, offering real-time, reliable transactions to users in regions with underdeveloped banking infrastructure.

Shiga Digital’s platform offers a range of services, including OTC (over-the-counter) services, FX (foreign exchange), virtual accounts, and treasury tools. These services are designed to address long-standing financial challenges in Africa, such as inefficient capital movement and lack of access to financial services. The partnership with Tether will enable contractors, legacy industries, and remote workers to use digital currencies for their financial transactions, thereby enhancing financial inclusion and efficiency.

Abiola Shogbeni, the CEO of Shiga Digital, emphasized the importance of this collaboration in achieving a decentralized financial future. He noted that internet-native money, such as stablecoins, is gaining popularity, especially in developing markets. Shogbeni believes that stablecoins like USDT will play a significant role in regular investments and daily transactions, providing a stable and efficient medium of exchange.

The investment in Shiga Digital is part of Tether’s broader initiative to strengthen Africa’s on-chain financial ecosystem. Tether has previously collaborated with other companies, such as Quidax and MANSA, to drive blockchain education and adoption in the region. These efforts underscore Tether’s commitment to leveraging stablecoins to facilitate global financial connectivity and support the growth of digital assets in Africa.

As African nations explore crypto regulation and seek to mitigate the effects of inflation, the demand for digital currencies is on the rise. Shiga Digital’s on-chain gateway provides a model for local businesses to conduct transactions in digital dollars, making it easier for individuals and companies to transfer funds safely and efficiently. With Tether’s investment, this method is set to become more accessible, furthering the transition toward digital asset utility in Africa.