Stablecoin issuer Tether invests in Shiga Digital to promote cross-border payments and expand stablecoin applications in Africa.
Tether has announced a strategic investment in Shiga Digital – a blockchain financial solutions provider operating across Africa – to enhance cross-border payment capabilities and improve global liquidation access for businesses in the region. The announcement was made on June 5, marking an important step in the USDT issuer's market expansion strategy.
This collaboration is expected to support fund management and foreign exchange management for traditional industries such as oil and gas, while also facilitating independent contractors' access to foreign currency and receiving service payments from around the world. This move reflects the increasing trend of using stablecoins in international payments in emerging markets.
Tether CEO Paolo Ardoino emphasized the importance of stablecoins in the digital financial transformation. "At Tether, we believe stablecoins are the heartbeat of financial transformation," he stated. "Through collaboration with innovators like Shiga Digital, we aim to bring efficiency and financial accessibility to African businesses."
Towards a Self-Custody Asset Model
Shiga Digital CEO Abiola Shogbeni shared his vision of the digital financial future in Africa, where native internet currencies – especially USD-pegged stablecoins – are increasingly reshaping the financial landscape. Although local fiat currency still plays a crucial role in value exchange, he sees a clear shift towards blockchain solutions.
"The self-custody asset model will become the standard as more individuals and businesses seek to completely control their assets," Shogbeni predicted. He believes this trend will help users escape dependence on traditional, controlled custody systems.
According to the plan, Shiga Digital is building an on-chain payment gateway to eliminate the need for reverse conversion to local currency, creating a fully blockchain-based payment ecosystem. The investment from Tether is seen as supporting the broader goal of promoting blockchain innovation and expanding stablecoin applications across Africa.
