TechFlow news, October 28 — According to Cointelegraph, venture capital giant Andreessen Horowitz (a16z) has led a $12.9 million funding round for fintech startup ZAR to promote dollar-backed stablecoins in Pakistan. Dragonfly Capital, VanEck Ventures, Coinbase Ventures, and Endeavor Catalyst also participated in the round.
ZAR innovatively distributes stablecoins through local convenience stores, phone booths, and remittance agent networks. Users can simply scan a QR code at participating stores to exchange cash for stablecoins stored in a mobile wallet, which are linked to a globally usable Visa card. This model specifically targets over 100 million unbanked adults in Pakistan, requiring no understanding of blockchain or cryptocurrency technology.
ZAR was co-founded by Sebastian Scholl and Brandon Timinsky, who previously sold their mobile wallet startup SadaPay to Turkey's Papara. The company has received strong early feedback in urban centers across Pakistan, raising a total of $20 million to date, with plans to expand into African markets by 2026.
