Hong Kong crypto payment firm RedotPay wraps $40M Series A funding round

Hong Kong-based crypto outgo level RedotPay closed a $40 cardinal Series A backing circular led by Lightspeed, with information from HSG and Galaxy Ventures.

RedotPay aims to alteration cryptocurrency usage successful mundane transactions portion simplifying blockchain transactions for spenders, akin to fiat. In November 2023, the institution launched its ain carnal Visa cards, which tin beryllium utilized for ATM currency withdrawals, on with a virtual paper that supports integer outgo services similar Apple Pay and Google Pay.

The institution has expanded its blockchain integrations, adding Solana successful December 2024 and Ethereum furniture 2 Arbitrum successful February. Additionally, it partnered with StraitX and Visa to enactment retail crypto payments successful Singapore.

Still, RedotPay appears to person cross-border work restrictions. Visitors extracurricular Hong Kong are greeted with a informing erstwhile accessing the company’s website.

RedotPay appears to person cross-border work restrictions. Visitors extracurricular Hong Kong Source: RedotPay

Crypto payments options rising successful Asia, with stablecoins astatine the forefront

Direct cryptocurrency outgo solutions are gaining traction crossed Asia. In November 2024, Singapore-based integer plus trading level Crypto.com partnered with Triple-A to alteration nonstop crypto payments, eliminating the request to person crypto into fiat.

Hong Kong has its stock of competitors. Infini, a stablecoin-focused crypto outgo firm, offers outgo services portion earning yields. However, it precocious suffered a $50 cardinal USDC exploit, allegedly orchestrated by a rogue developer who swapped USDC for DAI — a decentralized stablecoin that cannot beryllium frozen similar its centralized counterparts.

Related: Infini loses $50M successful exploit; developer deception suspected

Unlike volatile cryptocurrencies similar Bitcoin (BTC) oregon Ether (ETH), stablecoins tin connection a much accordant enactment to clasp for those who privation to usage them for payments, arsenic the assets are designed to support a worth pegged to their fiat counterparts. 

Japan, the second-largest Asian system by gross home product, is making important strides successful stablecoin adoption. A caller study by Tokyo-based probe and consulting steadfast Yuri Group shared with Cointelegraph Magazine suggests that the Japanese authorities views stablecoins arsenic a imaginable catalyst to unlock $14 trillion successful household savings.

Japan’s eyes integer assets resurgence down established fiscal institutions. Source: Yuri Group

Yuri Group highlights Progmat arsenic a cardinal subordinate successful Japan’s integer plus ecosystem. Backed by the nation’s largest bank, Mitsubishi UFJ Progmat operates successful compliance with Japan’s strict regulatory framework, which mandates a 1:1 reserve backing. This ensures that Japan’s established fiscal institutions stay astatine the forefront of integer plus management.

In contrast, China, Asia’s largest economy, has banned cryptocurrency trading and recognizes the renminbi arsenic the country’s sole ineligible tender.

Magazine: How Chinese traders and miners get astir China’s crypto ban