Transak Crushes $16M Funding Round—Stablecoin Payments Set to Dominate

Another day, another crypto startup swimming in VC cash—but this one might actually deliver real-world utility.

Transak just locked down $16 million to turbocharge its stablecoin payment infrastructure. The timing couldn’t be better: as traditional finance keeps tripping over its own red tape, dollar-pegged digital assets are eating their lunch.

The play? Make stablecoins as easy to spend as fiat—without the bank queues, forex fees, or ‘scheduled maintenance’ windows that belong in a 1995 IT handbook.

Watch for merchant adoption to explode as Transak’s rails turn crypto into the ultimate cross-border cheat code. Banks won’t know what hit them—but their shareholders will see it in the next earnings miss.

TLDR

• Transak raised $16 million to scale its stablecoin payments infrastructure and expand into new markets.

• Tether co-led the funding round to help Transak expand its stablecoin payment network.

• Transak has processed over $2 billion in transactions, with 30% from stablecoins.

• Transak supports fiat-to-stablecoin conversion through APIs in over 75 countries.

Transak, a leader in Web3 payments infrastructure, has raised $16 million in a strategic funding round. The round was co-led by IDG Capital and Tether, with participation from Primal Capital, 1kx, Protein Capital, Fuel Ventures, and others. Transak plans to use the funds to expand its stablecoin payment stack and scale its operations into new markets. This is part of a broader strategy to tap into the growing demand for stablecoin adoption worldwide.

The funding round comes at a time when the stablecoin sector is experiencing rapid growth. According to DeFiLlama data, the market capitalization of stablecoins has more than doubled from $130 billion to $270 billion. Transak has been at the forefront of this growth, processing over $2 billion in transactions, with nearly 30% originating from stablecoin flows.

Expanding Stablecoin Payment Solutions

Sami Start, CEO and co-founder of Transak, highlighted that the adoption of stablecoins goes beyond liquidity. He emphasized that stablecoins are no longer just crypto assets; they have become the “rails for global value transfer.”

However, for stablecoins to be usable at scale, more than just liquidity is needed. Transak has built infrastructure around compliance systems, fraud prevention, KYC, banking partnerships, and deep crypto market knowledge to make stablecoins widely usable.

The company’s platform enables seamless conversion between fiat and stablecoins through local payment methods, bank transfers, cards, and VIRTUAL IBANs. This is accessible through a single API, allowing applications like wallets, exchanges, fintechs, and DeFi platforms to integrate fiat-to-stablecoin conversion without the complexity of managing the operational and regulatory challenges.

Global Expansion and Strategic Partnerships

Transak is positioning itself for global expansion, already supporting users in over 75 countries.

With the new funding, the company plans to broaden its reach into new markets, particularly in Latin America, Southeast Asia, and the Middle East. The platform’s broad regulatory approvals, including licenses in the US (FinCEN), UK (FCA), the EU (VASP), Canada (FINTRAC), Australia (AUSTRAC), and India (FIU-IND), further bolster Transak’s expansion efforts.

Tether’s involvement in the funding round is noteworthy, as the company’s stablecoin, USDT, commands over 60% of the stablecoin market. Tether’s continued investment in ventures like Transak reflects its strategy to diversify its influence within the growing stablecoin ecosystem.