December 11, 2024
Emerging markets have gained a new stablecoin-based financial solution with the launch of KAST. The platform has secured $10 million in seed funding, co-led by Peak XV and HongShan, marking the first joint investment for the two firms since their split from Sequoia last year. Designed as a neobank-like platform, KAST enables users to hold and spend stablecoins via traditional payment systems, including merchant networks that do not support cryptocurrency transactions.
KAST addresses the banking challenges in emerging markets, where access to USD is often limited, and remittance costs remain high. Co-founder Raagulan Pathy, formerly with Circle’s Asia Pacific operations, noted the inefficiencies of cross-border banking systems, stating that the platform aims to streamline international payments by bypassing traditional banking frameworks. Beyond stablecoin spending, KAST offers credit cards linked to standard payment networks and plans to introduce savings and remittance products.
As stablecoin adoption grows globally, KAST enters a competitive space dominated by players such as PayPal, which recently launched a dollar-pegged token, and fintech firms like Revolut. Despite market concentration—where Tether controls about 75% of stablecoin supply—KAST sees an opportunity to outpace competitors by leveraging blockchain-native infrastructure. According to co-founder Daniel Bertoli, legacy neobanks struggle to integrate blockchain solutions, creating a gap for next-generation platforms like KAST to address.
About KAST
KAST is a stablecoin-focused financial platform designed to serve emerging markets. It enables users to store, spend, and transfer stablecoins while offering traditional financial tools such as credit cards. With plans to expand its services into savings products and remittances, KAST is committed to reducing cross-border payment barriers and providing stability in volatile currency markets.
Website: https://www.kastcard.com/
X: @KAST_official
About Investors
Peak XV
Peak XV is a venture capital firm with a global presence, focusing on high-growth startups across various sectors. The firm operates with a significant focus on innovation and has established offices across five offices globally.
Location: Bangalore, Mumbai, Delhi, Singapore and Dubai
Website: https://www.peakxv.com/
HongShan
HongShan is an investment firm known for deploying its extensive capital across North Asia and Europe. The firm invests across industries with an emphasis on technology and finance.
Location: China
Website: https://www.hsgcap.com/
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