Tether has announced its ‘strategic’ investment decision in Kotani Pay to empower individuals and businesses in Africa by removing barriers to global participation in the digital financial economy.
Kotani Pay specializes in providing on-ramp and off-ramp infrastructure that enables web3 users to access local payment channels across Africa. The company was founded in 2020 with the aim of providing a solution to the high costs of cross-border remittance, proposing the use of cryptocurrency, specifically stablecoins, for their low costs and efficiency. However, Kotani Pay goes further to address the technical and operational bottlenecks limiting the mainstream adoption of cryptocurrencies through simplified transaction processes.
Since its inception, Kotani Pay has built a robust network connecting African users at home and in the diaspora by serving as an intermediary between blockchain networks and local payment systems. Moreover, it offers these services without internet connectivity, using a communication protocol known as Unstructured Supplementary Service Data (USSD).
As mentioned in the announcement, the investment decision was driven by reports indicating that Sub-Saharan Africa has the smallest cryptocurrency economy, despite the increasing use and adoption of cryptocurrencies in the region.
The global digital asset issuer noted that the move aligns with the company’s broader mission to expand its blockchain services to improve financial access and empower underserved communities to participate in the global economy. The company highlighted its shared goal with Kotani Pay to promote financial inclusion in Africa via blockchain technology.
“Kotani Pay has established itself as a name in the African financial technology landscape, with a growing network and the ability to deliver solutions tailored to local market needs. Its infrastructure aligns with Tether’s broader mission to expand blockchain use cases, such as cross-border payments and digital asset management, provide extensive access to financial tools, and create systems that empower underserved communities to participate in the global economy. By leveraging blockchain technology, Kotani Pay enables enterprises to manage international operations efficiently, offering businesses and individuals practical solutions to access global liquidity and transact with ease.”
On the same day as the announcement , Tether celebrated reaching 500 million users and achieving a $182 billion market capitalization for USDT.
Earlier in the year, Tether made similar moves, announcing a strategic partnership with Shiga Digital, a fintech company that enables Pan-Africans individuals and businesses to easily access blockchain-based financial solutions. The partnership seeks to address financial barriers faced by Africans by enabling seamless and cross-border transactions and to access global financial liquidity.
Tether’s commitment to advancing blockchain adoption extends beyond investment partnerships. Earlier this month, the company partnered with leading cryptocurrency exchange Bybit to offer crypto scholarships to South African students, offering prizes totaling over $10,000.
In March 2025, the company also partnered with Quidax, a regulated Nigerian crypto exchange, to promote blockchain literacy in Africa, starting with Nigeria and Ghana.
Through these initiatives, Tether continues to demonstrate its commitment to advancing financial inclusion in Africa and access to global financial tools by leveraging blockchain technology.
