Tether Invests in Shiga Digital to Boost African Blockchain Infrastructure

Tether, the leading stablecoin issuer, has made a strategic investment in Shiga Digital, a blockchain financial solutions platform based in Africa. This move is part of Tether's broader strategy to expand blockchain infrastructure across the continent, leveraging its USDT stablecoin to improve liquidity and facilitate cross-border transactions for African businesses.

The investment aims to develop blockchain-based financial services tailored for African countries. Shiga Digital's platform offers services such as virtual accounts, treasury management, and over-the-counter (OTC) services, which are designed to help African enterprises overcome long-standing financial challenges. By integrating USDT into its services, Shiga Digital enables businesses to send and receive money globally without the need for traditional banking systems, providing a more efficient and reliable financial service.

Paolo Ardoino, CEO of Tether, views this collaboration as a step towards bringing more financial services to users via blockchain. He emphasized that the partnership with companies like Shiga Digital supports the adoption of stablecoins, leading to faster and better access to commerce. Abiola Shogbeni, CEO of Shiga Digital, echoed this sentiment, stating that the partnership aligns with the company’s vision of a decentralized financial future. Shogbeni highlighted the growing popularity of internet-native money and the significant role stablecoins like USDT will play in regular investments and daily transactions, particularly in developing markets.

The investment also focuses on key infrastructure areas such as oil, gas, and agriculture. Advanced treasury and payment systems provided by Shiga Digital enable these industries to move and secure their capital more efficiently. Despite being based in Abu Dhabi with a limited team, Shiga Digital offers high-quality services to African businesses struggling with outdated financial systems. Tether's support for blockchain technology helps bring more finance into the real world, enhancing the continent's digital financial growth.

This investment is part of a series of initiatives Tether has undertaken in Africa. Previous collaborations with Quidax and MANSA have strengthened Tether's position as an essential part of Africa’s digital financial growth. The partnership with Shiga Digital further solidifies Tether's commitment to driving blockchain education and adoption in the region, with plans to reach over 15,000 people in Nigeria and Ghana with knowledge about digital assets like Bitcoin and stablecoins.

As African nations explore crypto regulation, interest in digital currencies is rising. Companies are increasingly using token-based methods to mitigate the effects of inflation and facilitate international payments. Shiga Digital's growth reflects this shift, providing an on-chain gateway for local businesses to conduct transactions in digital dollars. With Tether's investment, this method makes it easier for individuals and companies to transfer money safely and efficiently, potentially transforming cross-border transactions and enhancing financial access across Africa.

Tether's investment in Shiga Digital is a significant step towards expanding the use of USDT in Africa. This partnership will enable faster, cheaper cross-border payments for African businesses, particularly in sectors like oil and gas, where international money transfers are often delayed and costly. Additionally, freelancers and small business owners in Africa will benefit from the ability to receive payments from overseas without relying on traditional banks, which are often restricted or difficult to use in many parts of the continent.

Shiga Digital's services, backed by Tether's USDT, aim to provide financial freedom to users who may not have access to traditional banking services. This includes individuals living in areas affected by unstable currencies and inflation, allowing them to participate in the global economy. The partnership aligns with Tether's objective of offering financial services to a broader range of users, leveraging blockchain technology to create a more inclusive financial system.

The digital finance space in Africa is rapidly evolving, with countries like Morocco developing new laws about cryptocurrencies. This growing interest in digital currencies presents an opportune moment for Tether's collaboration with Shiga Digital. By integrating USDT into everyday transactions, Shiga Digital is making it possible for users to pay for goods and services directly using US dollars, streamlining purchases and money transfers.

Overall, Tether's involvement with Shiga Digital demonstrates its commitment to driving blockchain innovation in Africa. This partnership has the potential to bring more individuals and businesses into the financial system, promoting fairness and inclusivity in the continent's financial markets. As the use of stablecoins like USDT continues to grow, the collaboration between Tether and Shiga Digital is poised to play a crucial role in shaping the future of digital finance in Africa.