Highlights:

  • Oobit’s mobile payment app empowers crypto token holders to make purchases at over 100 million retailers worldwide, accepting credit cards like Visa or Mastercard, seamlessly utilizing their cryptocurrency just like cash.
  • Tether USDT is classified as a “stablecoin,” a digital asset designed to maintain a one-to-one market value parity with the U.S. dollar. That makes it suitable for purchasing everyday items like food, coffee, or gas.

Oobit Technologies UAB, a mobile application for cryptocurrency payments, recently announced that it secured USD 25 million in an initial funding round to bolster its growth and extend its presence into additional markets.

Stablecoin issuer Tether Ltd. spearheaded the Series A round, with participation from notable cryptocurrency venture capital firms, including CMCC Global’s Titan Fund, 468 Capital, and Anatoly Yakovenko, Co-founder of Solana Labs. According to Crunchbase, Oobit had previously raised USD 8 million in a seed round in December 2020, bringing the total amount raised by the company to USD 28 million.

Oobit’s mobile payment app empowers crypto token holders to make purchases at over 100 million retailers worldwide, accepting credit cards like Visa or Mastercard, seamlessly utilizing their cryptocurrency just like cash. The underlying technology operates by paying merchants with money in exchange for cryptocurrency holders’ tokens, facilitating the adoption of crypto payment systems and other digital assets into merchants’ transactions.

Through Oobit’s technology, the app enables customers and merchants to conduct transactions using cryptocurrencies like credit or debit cards.

“With the backing of industry leaders, this funding round marks a pivotal moment for Oobit, propelling us forward in our mission to allow a simple way to pay with digital assets anywhere,” Co-founder and CEO of Oobit Amram Adar told CoinDesk in a statement.

Customers utilize a “tap-to-pay” feature on Android devices to make in-store payments, which is compatible with payment terminals supporting credit card systems equipped with tap receivers. This feature can be used at any store with a “Contactless” symbol on the payment terminal, typically depicted as a series of curved lines. Users can use this feature at such stores to use their mobile devices to make payments.

The company’s app is accessible on the Apple App Store and Google Play. Users can link it to digital assets through Oobit’s native digital wallet, enabling payments using Bitcoin, Tether, or other tokens.

Tether USDT is classified as a “stablecoin,” a digital asset designed to maintain a one-to-one market value parity with the U.S. dollar. That makes it suitable for purchasing everyday items like food, coffee, or gas. Tether USDT is the largest stablecoin by market cap, totaling USD 83 billion. Unlike bitcoin, the largest cryptocurrency with a market cap of USD 846 billion, users can rest assured that its value remains steady, alleviating concerns about hourly fluctuations.

Mobile cryptocurrency wallets and payment systems are not novel concepts, as numerous apps and services are already available, enabling users to store cryptocurrencies and make payments to merchants using crypto tokens. Prominent solutions include BitPay Inc., which facilitates merchants accepting cryptocurrency payments and offers the option to settle transactions into dollars. Another well-known option is the PayPal app, which enables users to make payments for goods and services using crypto tokens. Merchants can promptly receive funds in dollars or any other preferred currency.