Tether invests $20 million in Argentine neobank Ualá as it expands Latin America push
Tether has invested $20 million into the Argentine neobank Ualá as part of a broader strategy to expand its financial footprint in Latin America. While Tether is a major player in the crypto space, the company clarified that this investment is purely financial and does not currently involve the integration of USDT into Ualá's banking services.
Why it matters
This move highlights Tether's aggressive use of its stablecoin reserve profits to diversify into traditional banking and regional fintech markets across South America.
The investment was part of Ualá’s $197 million funding round announced in March, led by Allianz X at a $3.2 billion post-money valuation.
Tether was initially mentioned in Ualá’s announcement, and only later on unveiled the $20 million investment figure. Given the headline valuation, the investment should represent a rough 0.6% stake in the neobank’s post-money equity though the terms may differ.
Ualá offers accounts, cards, lending and investments to more than 11 million customers across Argentina, Mexico and Colombia.
The company’s CEO Pierpaolo Barbieri, according to Bloomberg , has said regulations in Argentina and Mexico prevent a near-term USDT integration and that Tether joined the round solely as a financial investor.
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