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PEXX, a Singapore-based startup focused on bridging the gap between cryptocurrency and traditional finance, has successfully closed a $4.5 million seed funding round.
This investment will fuel the development of PEXX's innovative stablecoin-to-fiat payment platform, aiming to transform cross-border transactions, the company said in an announcement on Tuesday.
The funding round was led by venture capital firm TNB Aura, with participation from early stage investor Antler. EMO Capital, a strategic investor known for backing Filecoin, also joined the round.
Simplifying Cross-Border Payments
PEXX's platform streamlines the process of converting stablecoins, such as Tether (USDT) and Circle (USDC), directly into bank accounts anywhere in the world. This eliminates the need for intermediaries or traditional bank accounts, offering a faster and more efficient solution for individuals and businesses.
“We're thrilled to have secured this significant funding, which will enable us to further develop our stablecoin-to-fiat payment platform,” said Marcus Lim, CEO and founder of PEXX.
"The growth for stablecoins is exponential and we expect to see the demand from users who want to convert their USDT and USDC directly to a bank account to grow accordingly as stablecoins become more ubiquitous over the coming years," Lim added.
Building a Compliant and User-Centric Bridge
The funding will enable PEXX to expand its engineering and product teams, bolster marketing efforts, and drive business development, initially focusing on Southeast Asia, the announcement said.
Notably, EMO Capital will leverage its expertise in Web3 to support PEXX's branding, marketing, and strategic partnerships, facilitating user acquisition and business growth.
"PEXX is building a compliant, respected, and protected bridge between the Web3 world and the real world, giving everyone a swift and easy access to converting their digital assets into their everyday purchases. This is what everyone in the Web3 world needs and where PEXX finds EMO's staunch support," said Angelina Tu, co-founder at EMO Capital.
PEXX's commitment to user trust is underscored by its AUSTRAC registration obtained in May 2024. This registration authorizes PEXX to operate as a licensed digital currency exchange and remittance dealer, ensuring adherence to strict regulatory standards and robust security measures.
Early Traction and Future Prospects
PEXX's platform offers users the flexibility to convert stablecoins (USDT and USDC) into 16 different fiat currencies, enabling direct transfers into bank accounts. This streamlines the crypto-to-fiat conversion process, facilitating faster transactions compared to traditional banking methods.
Having already processed nearly $3 million in transactions, PEXX has onboarded a diverse clientele, including Web3 companies, cryptocurrency exchanges, and media outlets.
