Malaysia-based VCI Global announced on Tuesday that it bought $100 million in OOB tokens. At the same time, the company became the Treasury Manager for the OOB Foundation. This move is in partnership with OOBIT, a Singapore-based crypto payments platform. Meanwhile, Tether, the company behind USDT, is the largest shareholder in OOBIT.
According to the press release, VCI Global bought $50 million in OOB tokens directly from the OOB Foundation at $0.20 per token. Additionally, the company will buy another $50 million in tokens on the open market after the token launches. This plan will help VCI Global manage OOBIT’s digital treasury.
Through this deal, Tether will become the biggest shareholder in VCI Global. Other notable investors include Solana co-founder Anatoly Yakovenko, CMCC Global, and 468 Capital. VCI Global said this move connects it to important players in blockchain and financial technology.
OOBIT started in 2017 and offers a crypto-to-fiat payment app. Merchants can accept cryptocurrency and turn it into normal money. Since May 2024, the platform has worked with The Open Network to process payments using Tether’s USDt and Tether Gold (XAUt).
Notably, a March report by OOBIT showed that 70% of crypto payments in the European Union went to food and retail purchases. In fact, the average purchase was $8.36.
VCI Global develops technology in artificial intelligence, digital finance, and data systems. Earlier in February 2024, it raised $25 million to grow its crypto payments app. However, despite the announcement, VCI Global shares dropped more than 20% in early trading.
The crypto payments space is crowded. For example, companies like Visa and Stripe are also adding stablecoin support. Visa recently added stablecoin support on four blockchains. Meanwhile, Stripe has been testing its own payment network called Tempo.
VCI Global said the partnership will help it grow in the digital finance world. At the same time, it will strengthen OOBIT’s position in crypto payments. With Tether involved, the platform aims to expand stablecoin payments for merchants and customers globally.
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