KAIO Receives $8 Million in Funding from Tether to Tokenize Emirati Funds on Blockchain

KAIO, a regulated tokenization firm in Abu Dhabi, has secured $8 million in funding from a strategic round led by Tether and other prominent crypto and institutional investors. This investment brings KAIO's total funding to $19 million, with new investors such as Systemic Ventures and returning investors like Further Ventures and Laser Digital. The funding round also saw participation from earlier backers, including Brevan Howard Digital. KAIO is focused on creating infrastructure that enables asset managers to distribute funds on blockchain rails. The company has already tokenized products from major firms like BlackRock, Brevan Howard, and Hamilton Lane, making them accessible through blockchain-based systems. With this new investment, KAIO plans to expand its offerings to include credit, structured investments, and exchange-traded funds. The firm is also set to launch an on-chain fund in partnership with Mubadala Capital, a private equity firm with $385 billion in assets under management. By tokenizing institutional funds, KAIO aims to lower the barriers to entry for investors, with minimum investments starting at $100 for eligible users. This is significantly lower than the typical thresholds for institutional funds. Tether's involvement in the funding round highlights the potential for stablecoin flows to be channeled into regulated investment products. As the most widely used stablecoin with a $185 billion supply, USDT is often used for cross-border transactions, particularly in emerging markets. KAIO's platform is designed to embed compliance and support regulated distribution frameworks, including those in Abu Dhabi, the Cayman Islands, and Singapore. To date, the company has tokenized approximately $100 million in assets and processed over $500 million in transactions. According to Tether CEO Paolo Ardoino, KAIO's unique position in the market 'unlocks new pathways for capital formation and investment by bringing institutional-grade assets on-chain and making them more broadly accessible, helping expand participation in global financial markets'.