Tether Expands Into Private Credit With New StableFund

Tether and Fasanara Capital announced the launch of StableFund, an evergreen private credit vehicle. The fund is anchored by $400 million in co-investment from both sponsors and targets up to $3 billion in institutional capital.

The initiative aims to fund small and medium-sized businesses, addressing a global financing gap estimated at $5.7 trillion. The project will integrate Tether's USD₮ coin into small business and consumer lending flows via fintech platforms in more than 60 countries.

Tether provides the stablecoin infrastructure and the largest stablecoin network in the world to enable seamless cross-border lending. Fasanara Capital contributes the technology, origination relationships, and underwriting discipline to source institutional capital for underserved borrowers.

The move comes as the global private credit market has grown to approximately $3 trillion and is projected to reach $5 trillion by 2029. However, recent reports indicate rising defaults, asset markdowns, and investor outflows, with the U.S. private credit default rate reaching 6.1% last month.