Transak Raises $16M From Tether and IDG Capital to Develop Stablecoin Payments Framework

A pioneering firm in the evolution from TradFi to DeFi in payments has received backing from prominent patrons to continue developing its product.

Backed By Giants

According to a press release shared with CryptoPotato, Transak, a leader in fiat-to-crypto infrastructure, has secured $16 million in funding to scale its operations across new markets and expand its stablecoin payments framework. The funding round was led by Tether and IDG Capital, along with a few other notable investors.

As stablecoins rapidly transform into the transaction layer of the internet, fueling payments, savings, and cross-border commerce, the next step in their adoption will depend on local, compliant, and developer-friendly infrastructure, which is what Transak aims to provide.

“Stablecoins are no longer just a crypto asset; they are now the rails for global value transfer, but making them usable at scale requires more than just liquidity. It takes real infrastructure: compliance systems, KYC, fraud prevention, banking partnerships, and deep crypto market knowledge, which is precisely what we’ve built, and this round helps us scale it globally.” Said Sami Start, Co-Founder and CEO of Transak

Integrated in over 450 applications, Transak helps users in more than 75 countries to move fiat and stablecoins across various payment methods, all with a single API. The company supports both retail and institutional use cases, having processed over $2 billion in transaction volume, with nearly 30% of that volume coming from stablecoins alone.

The CEO of Tether, Paolo Ardoino, noted the following:

“We believe stablecoins are rapidly becoming the backbone of digital payments, offering stability and efficiency that traditional systems often lack. By providing the critical infrastructure needed to support this transformation, Transak is accelerating adoption across both emerging and developed markets, bridging gaps in financial access, and enabling new opportunities for businesses and consumers alike.”

The platform that the infrastructure provider offers combines regulated fiat on and off-ramps, virtual bank accounts, real-time liquidity routing, and a full-stack dev toolkit. This enables any dApp, exchange, fintech, or platform to offer seamless fiat-to-stablecoin conversion without requiring operational work.

Transak holds regulatory approvals in key jurisdictions, including the US, UK, EU, Canada, Australia, and India, with expansion efforts underway into the Middle East, Latin America, and Southeast Asia.