Tether Supports UAE-Based KAIO in $8 Million Funding Round to Introduce Emirati Assets to Blockchain

KAIO, a tokenization firm regulated in Abu Dhabi, announced on Monday that it has secured $8 million in a strategic funding round led by Tether and several other prominent crypto and institutional investors. This investment will enable the company to develop infrastructure for bringing traditional assets onto blockchain platforms. The funding round brings KAIO's total investment to $19 million, with new investors such as Systemic Ventures participating, and Further Ventures and Laser Digital joining again alongside previous backers like Brevan Howard Digital. KAIO specializes in creating infrastructure that allows asset managers to distribute their funds on blockchain networks. The company has developed tokens for products from firms such as 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 company also intends to launch an on-chain fund in collaboration with Mubadala Capital, an Emirati private equity firm managing $385 billion in assets. By tokenizing institutional assets, KAIO aims to reduce the barriers to entry for investors. The company offers minimum investments starting at $100 for eligible users, significantly lower than the typical thresholds for institutional funds. Tether's involvement in this project connects the model to stablecoin flows, with USDT being the most widely used stablecoin, boasting a supply of $185 billion. USDT is often utilized to transfer funds across borders, particularly in emerging markets. KAIO seeks to channel this liquidity into regulated investment products. According to Tether CEO Paolo Ardoino, "KAIO's unique position unlocks new pathways for capital formation and investment by bringing institutional-grade assets onto blockchain networks and making them more broadly accessible, which helps expand participation in global financial markets." KAIO's platform incorporates compliance into its system and supports regulated distribution frameworks in various jurisdictions, including Abu Dhabi, the Cayman Islands, and Singapore. The company has tokenized approximately $100 million in assets and processed over $500 million in transactions.