Tether has led funding rounds for two blockchain infrastructure startups building payment and finance applications on Bitcoin, committing capital to Utexo and Ark Labs in a strategic push to expand stablecoin settlement and programmable finance on the world's largest cryptocurrency network.
Utexo raised $7.5 million to launch USDT settlement services on the Bitcoin blockchain, with Tether leading the round. The funding targets infrastructure to enable Tether's stablecoin to function as a native payment layer on Bitcoin, moving beyond its traditional presence on Ethereum and other blockchains.
Ark Labs secured $5.2 million in seed-stage funding backed by Tether and other investors to expand programmable finance applications and stablecoin infrastructure on Bitcoin. The dual investments signal Tether's commitment to deepening Bitcoin's utility as a settlement and application platform, competing with Ethereum's established DeFi ecosystem while addressing growing demand for native Bitcoin-based financial tools.