Andreessen Horowitz Backs Stablecoin Access Startup Targeting 100M Unbanked Pakistanis
Global venture capital firm Andreessen Horowitz (a16z) has led a $12.9 million funding round for ZAR, a fintech startup focused on bringing stablecoin access to Pakistan’s unbanked population through an innovative retail distribution model.
According to industry reports, the round also saw participation from Dragonfly Capital, VanEck Ventures, Coinbase Ventures, and Endeavor Catalyst, reflecting strong institutional interest in digital financial inclusion across emerging economies.
With Pakistan’s population exceeding 240 million, and over 100 million adults still unbanked (as estimated by the World Bank), ZAR aims to transform access to dollar-backed stablecoins through local convenience stores, phone kiosks, and neighborhood agents — the same network commonly used for mobile top-ups and remittances.
ZAR’s On-the-Ground Strategy to Democratize Stablecoin Access
Unlike traditional crypto exchanges or apps, ZAR’s approach focuses on physical access points. Users can visit a participating shop, scan a QR code, and swap cash for stablecoins credited to their mobile wallets. The balance is linked to a Visa card, allowing global usability without direct blockchain interaction.
“Our goal is to make stablecoins usable and understandable for anyone — even those without prior crypto knowledge,” a company spokesperson said.
ZAR launched its platform earlier this year and has already reported strong adoption in Pakistan’s urban centers, where economic instability and currency volatility have fueled demand for dollar-denominated digital money.
Regulatory Momentum in Pakistan’s Digital Asset Sector
The funding comes as Pakistan accelerates its virtual asset regulation framework. The government recently established the Pakistan Virtual Assets Regulatory Authority (PVARA) to oversee digital asset operations, while also opening licensing pathways for international crypto exchanges and service providers.
This regulatory clarity has coincided with Pakistan’s rapid rise in the 2025 Global Crypto Adoption Index, where it now ranks third globally, signaling strong grassroots adoption and investor interest.
ZAR’s co-founders, Sebastian Scholl and Brandon Timinsky, previously built and sold SadaPay to Turkey’s Papara in 2024. With total funding now reaching $20 million, ZAR plans to expand into African markets by 2026, depending on the success of its Pakistan pilot.
Industry experts suggest that ZAR’s hybrid cash-to-stablecoin model could become a blueprint for financial inclusion, enabling millions of unbanked individuals to store, send, and spend digital dollars safely.
“This is where fintech meets real-world utility,” noted one analyst. “ZAR is not just building a crypto product — it’s building financial access for the next billion users.”
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.