RedotPay Closes $40M Series A Funding Round Led by Lightspeed

Hong Kong-based crypto payment platform RedotPay closed a $40 million Series A funding round led by Lightspeed, with participation from HSG and Galaxy Ventures.

Hong Kong-based cryptocurrency payment platform RedotPay has reportedly closed a $40 million Series A funding round led by Lightspeed, with participation from HSG and Galaxy Ventures, Singapore-based vernacular e-commerce publication Today reports.

The startup aims to facilitate the use of cryptocurrency in everyday transactions, simplifying blockchain transactions for spenders, similar to how they use fiat.

In November 2023, RedotPay launched its own physical Visa cards, which can be used for ATM cash withdrawals, along with a virtual card that supports digital payment services like Apple Pay and Google Pay.

The company has been expanding its blockchain integrations, adding Solana in December 2024 and Ethereum layer 2 Arbitrum in February. It has also partnered with StraitX and Visa to support retail crypto payments in Singapore.

Still, RedotPay appears to have cross-border service restrictions. Visitors outside Hong Kong are greeted with a warning when accessing the company’s website.

Crypto payments options rising in Asia, with stablecoins at the forefront

Direct cryptocurrency payment solutions are becoming increasingly popular in Asia. Back in November 2024, Singapore-based digital asset trading platform Crypto.com announced a partnership with Triple-A to introduce a service that enables merchants to accept direct crypto payments.

This partnership aimed to simplify the process of accepting cryptocurrency payments for businesses, eliminating the need for conversion to fiat currency.

Hong Kong is home to several companies operating in the crypto payments space. Another notable startup, Infini, focuses on stablecoins and provides payment services while offering an opportunity for users to earn interest (yield) on their cryptocurrency.

Earlier this year, Infini fell victim to a $50 million exploit. The incident allegedly involved a rogue developer who maliciously swapped a large sum of USDC for DAI—a decentralized stablecoin that cannot be frozen, unlike its centralized counterparts.

In contrast to the price volatility of cryptocurrencies like Bitcoin (BTC) or Ether (ETH), stablecoins provide a more stable and consistent option for those who prefer to use them for regular transactions or for holding value.

The article also mentions that Japan, the second-largest Asian economy by GDP, is making significant progress in adopting stablecoins.

According to a recent report by Tokyo-based research and consulting firm Yuri Group, shared with Cointelegraph Magazine, the Japanese government views stablecoins as a crucial factor that could unlock an estimated $14 trillion in household savings.

This report highlights Progmat as a key player in Japan’s digital asset ecosystem. Backed by the nation’s largest bank, Mitsubishi UFJ Progmat operates in strict adherence to Japan’s regulatory framework, which mandates a 1:1 reserve backing for stablecoins. This ensures that Japan’s established financial institutions remain at the forefront of managing digital assets.

In another development, China, Asia’s largest economy, has banned cryptocurrency trading and only recognizes the renminbi as the country’s legal tender.