Hub71 Startup Fuze Secures $12.2M Co-Led by Galaxy & e& capital to Power Crypto Infrastructure in UAE & MENA

The Middle East and North Africa (MENA) region is rapidly emerging as a hub for digital asset innovation. Navigating this complex landscape requires robust, compliant infrastructure. Enter Fuze, a UAE-based crypto infrastructure startup and a notable member of Abu Dhabi's global tech ecosystem, Hub71. Poised to bridge the gap between traditional finance and the burgeoning world of digital assets. In a significant vote of confidence, the Series A funding round has successfully closed, securing a substantial $12.2 million in seed funding, co-led by Galaxy (affiliated with the global digital asset leader Galaxy Group) and Abu Dhabi's e& capital (the investment arm of global technology group e&).

This round follows Fuze's record-breaking $14 million seed round, bringing its total funding to over $26 million. This investment marks a pivotal moment for Fuze and the broader MENA FinTech ecosystem. It also reinforces Hub71's commitment to supporting high-growth startups shaping the future of finance from Abu Dhabi. This post explores the details of the funding, Fuze's mission, how the capital will be utilised, and why this development is crucial for regulated digital asset adoption in the region.

A Landmark Seed Round: Fuze Secures $12.2 Million

The $12.2 million Series A funding round represents a major milestone for Fuze. Co-led by Galaxy, a global player in digital assets and blockchain infrastructure, and e& capital, the strategic investment arm of the UAE-based global technology group e& and a capital partner within the Hub71 ecosystem, this funding underscores the growing investor confidence in digital asset infrastructure solutions in the UAE. While Fuze's previous $14 million seed round in 2023 attracted global attention, this Series A further validates its traction and market opportunity. The size of the round and the calibre of its lead investors, one a global digital asset leader and the other a key strategic investor and Hub71 capital partner in Abu Dhabi, highlight the perceived potential of Fuze's platform to power the next wave of digital asset adoption across the MENA region.

What is Fuze? Enabling Banks & Fintechs with Digital Asset Infrastructure

Fuze isn't aiming to replace traditional financial institutions but rather to empower them. As a Hub71 startup based in Abu Dhabi, the company provides a sophisticated B2B platform offering:

• API-Based Solutions: Fuze delivers its services through Application Programming Interfaces (APIs), enabling seamless integration into clients' platforms.
• Regulated Digital Asset Products: Clients (banks, FinTechs, neobanks, asset managers) can use Fuze's infrastructure to offer their own customers access to regulated digital assets, including cryptocurrencies, stablecoins, and tokenised assets.
• Simplified Integration: Fuze tackles the complexities of compliance, security, and technology, significantly lowering the barrier to entry for institutions looking to engage with digital assets.

By providing this critical digital asset infrastructure in the MENA region, Fuze enables established players to meet growing customer demand for crypto-related services within a compliant framework.

Strategic Allocation: Fueling Fuze's Growth Trajectory

The newly acquired $12.2 million capital injection is earmarked for several key strategic initiatives designed to accelerate Fuze's growth:

• Team Expansion: Scaling up engineering, operations, and business development teams to support rapid client growth.
• Platform Development: Continuously improving the core crypto API platform with enhanced features, usability, and security.
• Regulatory Licensing: Actively pursuing regulatory licenses across key MENA jurisdictions to operate with full compliance.
• Geographical Expansion: Expanding Fuze's footprint beyond the UAE to high-potential markets to serve a wider range of clients across the MENA region.

This strategic deployment aims to solidify Fuze's position as the go-to provider for regulated digital asset infrastructure.

The Broader Impact: Why This Matters for Fintech Funding MENA

Fuze's successful funding round is indicative of several important trends:

• Maturing Digital Asset Market: It signals the increasing maturity and institutional interest in the MENA digital asset space.
• Demand for Regulated Solutions: The focus on enabling regulated access highlights the importance of compliance and trust in driving mainstream adoption.
• Bridging TradFi and DeFi: Fuze exemplifies the crucial role infrastructure providers play in connecting traditional finance (TradFi) with the innovations of decentralised finance (DeFi).
• Investor Confidence: This significant FinTech funding in MENA deal, co-led by major players like Galaxy and e& capital, demonstrates strong investor belief in the region's potential for financial innovation, particularly within the digital asset sector. The success of Hub71-based startups, like Fuze, further reinforces Abu Dhabi's position as a leading tech hub.