Tether has invested $20 million in Uala, an Argentine neobank, as part of the fintech firms $197 million funding round that valued the company at $3.2 billion. The investment marks another step in Tethers strategy of deploying its substantial profits into fintech and digital asset infrastructure worldwide.
Uala, which has over 11 million clients in Argentina, offers a range of financial services including accounts, cards, and payment processing through its mobile application. The neobank has been expanding its services in Latin America and has been exploring cryptocurrency integration as part of its product roadmap.
The investment from the stablecoin issuer comes as part of a broader $197 million funding round that Uala announced earlier in March. The round included participation from existing investors and new strategic partners, reflecting continued investor confidence in the Argentine fintech sector despite the country challenging economic environment.
Tether, which issues the dominant USDT stablecoin, has been actively investing in financial technology companies around the world. Recent investments include a $20 million stake in Brazils Mercado Bitcoin and a $7 million Series A in Pact Labs for USA payroll services. The company reported record profits in 2025 driven by rising interest rates on the reserves backing its stablecoin.
The investment in Uala aligns with Tethers focus on emerging markets, where stablecoins have seen significant adoption as a hedge against local currency volatility and as a medium for cross-border payments. Argentina, which has experienced persistent inflation and capital controls, has been one of the most active markets for cryptocurrency adoption in Latin America.
This article was adapted from Cointelegraph. Read the original here.
