Stablecoin provider Tether is expanding into private credit alongside Fasanara Capital, deploying $400 million toward a new vehicle that intends to utilize its USDT token to channel funds to lenders globally.
Both companies are seeding StableFund, a continuous private credit portfolio that seeks to secure up to $3 billion from external institutional backers, as stated in a Wednesday announcement.
Fasanara, an investment firm headquartered in London specializing in private debt, will oversee the portfolio and allocate the capital into short-term, collateralized loans via financial technology networks across more than 60 nations. The approach focuses on extending credit to consumers as well as small and mid-sized enterprises.
Tether will identify USDT-denominated borrowing transactions and supply the stablecoin framework required to transfer capital internationally, which encompasses exchanges between fiat currencies and digital dollars.
This initiative represents the most recent phase in Tether’s broader diversification outside of the core sector that transformed it into a dominant digital asset entity. Backed by substantial gains from the U.S. Treasury securities supporting USDT, Tether has ventured into telecom, artificial intelligence, payment systems, and various other ventures. USDT, the company’s $145 billion cryptocurrency, represents over 50% of the $300 billion stablecoin industry and sees widespread adoption particularly in developing markets.
“Through this fund, Tether is fulfilling the function it is uniquely equipped to handle, uncovering USDT-backed credit prospects and delivering the stablecoin framework that facilitates frictionless international lending,” remarked Tether CEO Paolo Ardoino.
Originally published at https://www.coindesk.com/business/2026/09/09/tether-pushes-into-private-credit-with-usd400-million-fund-with-fasanara.
