UAE-based blockchain infrastructure startup Utexo has raised $7.5 million in a seed funding round led by Tether, with participation from Big Brain Holdings, Portal Ventures, Franklin Templeton, Maven11 Capital, and Fulgur Ventures.
The funding will support Utexo’s mission to enable direct stablecoin payment processing on the Bitcoin network, with a particular focus on facilitating transactions using USDT.
Founded in the UAE, Utexo is building enterprise-grade APIs and infrastructure designed to bridge stablecoins with existing cryptocurrency and financial systems. Its platform allows digital wallets, exchanges, and global payment providers to process stablecoin transactions without requiring major changes to internal systems, compliance workflows, or custody frameworks.
At the core of Utexo’s technology is its integration of Bitcoin layer-2 solutions such as Lightning and RGB. These protocols significantly reduce transaction friction by enabling near-instant settlement, lower fees, and improved privacy. According to the company, transactions can be processed in under one second.
Utexo also emphasizes secure data handling and identity protection, ensuring that institutional clients can maintain privacy while executing cross-border payments and high-value transactions.
The platform operates on a flat-fee pricing model payable in USDT, helping institutions avoid the unpredictability of network fees and better manage transaction costs.
With the fresh capital, Utexo plans to scale its infrastructure and expand beyond the UAE, positioning itself to support the growing role of stablecoins in global finance.
As stablecoin adoption accelerates, Utexo aims to become a key infrastructure provider enabling fast, secure, and scalable crypto payments for financial institutions worldwide.