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Tether Operations Limited is investing $3 million in Kem, a money transfer and financial management app. The investment is aimed at introducing stablecoin Tether USD (USDT) to Kem’s platform, boosting crypto adoption in the Middle East.

The Middle East and North Africa (MENA) region is the sixth-largest crypto economy globally, with $389.8 billion in on-chain value received between July 2022 and June 2023. This represents 7.2% of the global transaction volume during this period.

The investment targets improved economic conditions in Kuwait, Bahrain, Saudi Arabia, Qatar and Iraq. Expats in these regions could benefit from USDT and accessible financial services, addressing concerns about hyperinflation and economic instability.

“This investment reinforces Tether’s commitment to advancing financial inclusion and stability. We believe that everyone should have the means to protect their families and businesses from inflation while having unfettered access to financial services,” said Paoplo Ardoino, CEO of Tether.

He added that the investment in Ken is “a testament to this belief,” as the platform provides tools that simplify access to the financial system, which aligns with Tether’s mission to promote financial freedom for all.

The company is also involved in projects such as Pear Credit, HolePunch and Keet and invests in AI cloud platforms.

The partnership aims to enhance Kem’s offerings and serve underserved businesses in the Middle East. By incorporating crypto into its platform, Kem aims to drive mass adoption and foster a more inclusive banking landscape in the Gulf region.

Expansion plans

According to Crypto Briefing, Tether plans to invest $1 billion in startups by the end of 2025. Through its venture capital arm Tether Investments, the company will focus on alternative financial infrastructure, artificial intelligence (AI), and biotechnology.

In an interview with Bloomberg, Ardoino emphasized that Tether plans to invest in technology that will cut out the middleman in the traditional financial sector.

“We can offer AI computing to all the companies we’ve invested in,” Ardoino said. “It’s all about investing in technology that helps disintermediation with traditional finance. Less reliance on the big tech companies like Google, Amazon and Microsoft.”

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