Tether’s involvement ties the model to stablecoin flows. USDT is the most popular stablecoin, boasting a $185 billion supply, and is often used to move money across borders, especially in emerging markets. KAIO aims to channel that liquidity into regulated investment products.

“KAIO’s unique position unlocks new pathways for capital formation and investment by bringing institutional-grade assets onchain and making them more broadly accessible, helping expand participation in global financial markets,” Tether CEO Paolo Ardoino said in a statement.

KAIO said its platform embeds compliance into its system and supports regulated distribution frameworks, including those in Abu Dhabi, the Cayman Islands and Singapore.

The company said it manages about $100 million in assets and has processed more than $500 million in transactions.

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Coinbase logo shown on a laptop screen

The talks do not involve any sort of stake acquisition or similar deal to enter the U.S., as was reported elsewhere last month.

What to know:

  • Discussions between Coinbase and Bybit focus on the global distribution and custody of tokenized stocks and other assets.
  • Bybit’s plan to enter the U.S. market involves a new entity headed by former co-CEO Helen Liu and an unidentified local partner, which is not Coinbase.

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