Utexo Secures $7.5M Seed Round to Enable Direct USDT Payments on Bitcoin Network

Utexo, a UAE-based company, has successfully closed its $7.5M Seed investment round, led by Tether and with participation from Big Brain Holdings, Portal Ventures, and investors including Franklin Templeton, Maven11 Capital, and Fulgur Ventures.

The company focuses on building software infrastructure to enable direct stablecoin payments, especially USDT, on the Bitcoin network, via APIs and software tools that allow digital wallets, exchanges, and payment providers to process stablecoin transactions swiftly without redesigning systems or altering compliance frameworks.

Utexo leverages layer-two technologies such as Lightning and RGB to reduce transaction costs, enable privacy through encrypted operations, and simplify integration for enterprises. The company implements a fixed-fee model payable in USDT, with instant settlement within a second and user data obfuscation.

Its commercial goals include handling high-volume international transactions, expanding digital payments, and providing greater flexibility for financial service providers wishing to harness the power of cryptocurrencies without obstacles. The focus remains on seamlessly connecting existing USDT flows with Bitcoin rather than creating parallel infrastructures or engaging in market speculation.

This move aligns with Tether’s ongoing efforts to expand USDT capabilities on the Bitcoin network, reflecting the sector’s growing interest in using Bitcoin as a core infrastructure for cross-border dollar payments.