KAST secures $10 million seed round led by HongShan Capital Group (HSG) and Peak XV Partners

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George Town, Cayman Islands, December 12, 2024, Chainwire

KAST, a financial technology platform built on stablecoins to deliver a neobank-style experience, has raised $10 million in seed funding. The round is led by HongShan Capital Group (HSG) and Peak XV Partners. A number of high-profile angels, partners at DST Global and Goodwater Capital also joined this round.

“In most countries and more than half of global GDP, banking has fallen short of the openness and speed of the internet and has fundamentally collapsed. Stablecoins are a solid solution, but the user experience is poor. We are building KAST to change this,” added Raagulan Pathy, co-founder of KAST. Pathy is a stablecoin expert who served as Vice President of Asia Pacific and Singapore CEO of Circle, best known for USDC.

KAST offers payment cards and USD-denominated accounts to people in over 150 countries, the ability to send and receive cash, and works with partners such as Bridge (recently acquired by Stripe). KAST will soon launch savings and other remittance products without the need to directly touch fiat currency. The maturation of stablecoin regulation and acceptance has led to rapid integration with existing financial networks, allowing users to send funds faster, cheaper, and more securely. KAST highlights use cases such as holding the USD stablecoin as an alternative to highly volatile currencies, allowing people to buy imported goods and travel with cards, and enabling remote workers to receive salaries globally. I did it.

“The next generation of neobanks will be built on stablecoins and will be inherently global by DNA. They will be fundamentally different from the current generation of neobanks, which are restricted to countries due to licensing issues and struggle with blockchain integration. The core systems and functionality are so different,” says Daniel Bertoli, co-founder of KAST and former partner at Quona Capital, a global fintech fund focused on neobank investments.

KAST has completed a seed funding round of $10 million at an undisclosed valuation. In the first four months, the company has shown strong initial traction in terms of user adoption and revenue. The team sees this as a reflection of significant global interest in the platform.

Stablecoins have experienced remarkable growth in the second quarter of 2024, with over 125 million users, over $170 billion in supply and over $8.5 trillion in trading volume. Analysts predict until 2030. The number of users will exceed 1 billion and supply will exceed $1 trillion.

“KAST provides tangible benefits to global users. Their USD-denominated accounts provide a safe haven for hard-earned income when local currencies fall, especially for those who don’t have access to traditional US accounts. As more digital nomads get paid in stablecoins, they can now bypass the hassle of traditional rails. International transfers that once took weeks can now be completed instantly and at virtually no cost.” Alex Svanevik (early investor in KAST and CEO/co-founder of Nansen.ai) said:

Users can visit the KAST website to learn more about KAST and how KAST’s innovative products can transform their financial experience.

Reviews from card users

“I spent two weeks at the bank trying to open a simple savings account. They asked for over 10 documents (about 100), each of which had to be signed and stamped. And I opened the cryptocurrency @KAST_official card in literally 2 minutes. Why would you follow traditional cards anymore? Unless I need a bank statement to send to the embassy, I will always use a cryptocurrency card like @KAST_official.” – Mardeni (Twitter)

“All your problems can be solved with one tap. When I got my KAST card, that was it. Long story short, I’ve been traveling a lot lately, and exchanging money has always been a hassle. Typically, by the time you get your hands on the cash, you’ll have lost 5-8% in the process. My friend sent me a link and said, “Give it a try!” Fast forward two months and I’ve gotten quite a bit done. Thanks to @KAST_official. I’ve been using it in 5 countries over the past few months without any issues. “Spending abroad and using cryptocurrency has become incredibly simple.” – Alpha Bets (Twitter)

“I just used my @KAST_official card to pay for my project domain name and it worked smoothly. All I had to do was fund it with Solana USDC. This is actually a game changer for me and everything else I want to do. “It” – Alex (Twitter)

About KAST

KAST is transforming the financial technology landscape by seamlessly combining stablecoin technology and traditional payment methods. The KAST platform supports USD accounts in over 150 countries around the world, serves over 5 billion people and provides solutions for the underbanked. The smooth, seamless user experience is taking the openness, speed, and security of stablecoins mainstream. KAST allows users to send, receive, store and spend funds efficiently across borders. For more information, please visit www.kast.xyz.