- IDA raises $6 million in seed funding to develop its first fiat-referenced stablecoin, HKDA.
- Major players, including Hashed and CMCC Global’s Titan Fund, back the project.
- The company aims to launch the HKDA mainnet by 2024-end.
Hong Kong-based digital asset company IDA has successfully raised $6 million in seed funding, with major backing from blockchain investors CMCC Global’s Titan Fund and Hashed. This investment propels IDA toward the launch of its groundbreaking fiat-referenced regulated stablecoin, Hong Kong Dollar Anchor (HKDA).
IDA aims to empower businesses by bridging the gap between traditional Web2 systems and the emerging Web3 ecosystem. HKDA is designed to streamline commerce and payments between Hong Kong and global markets, simplifying cross-border trade payments. Each token will be fully backed by at least 100% reserve assets held in regulated Hong Kong institutions.
IDA has partnered with key industry players to streamline the minting, redemption, and use of HKDA across various platforms. The seed funding round saw participation from other notable investors, including Hack VC, Anagram, GSR, Protagonist, and angel investors like Solana’s co-founder Raj Gokal. Additionally, blockchain foundations from Solana, Polygon, Aptos, and Mantra have joined forces with IDA as strategic partners.
Lawrence Chu, IDA’s co-founder and CEO, expressed his optimism about the future of stablecoins, predicting that the market could grow to over $3 trillion within the next five years. He added:
“IDA’s mission is to enable more effective and efficient cross-border trades through blockchain for everyone.”
IDA is working closely with the Hong Kong Monetary Authority (HKMA) and the Financial Services and the Treasury Bureau (FSTB) to comply with the upcoming stablecoin rules. In July, these regulators announced the stablecoin consultation report. aligning the region’s effort to clear regulatory frameworks.
IDA plans to launch a testnet for the HKDA stablecoin soon, with a full mainnet launch expected towards the end of 2024. The company’s long-term vision extends beyond Hong Kong, with plans to expand their stablecoin offerings to other regions with currencies pegged to the US dollar.
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