Spending through payment cards funded by stablecoins exceeded $1 billion in July, marking a record month for a technology increasingly used for everyday transactions in emerging markets. Latin America currently leads adoption and growth potential, followed by Africa, according to stablecoin payment company RedotPay.
Annual spending could reach $50 billion
RedotPay expects global stablecoin card spending to reach $50 billion annually by 2028, approximately four times the current level.
The industry required about three years to process its first $10 billion in card transactions. RedotPay predicts that the next $10 billion could be completed within eight months as more consumers connect blockchain-based balances to established payment networks.
The Hong Kong-based company has more than eight million users and reports annualised payment volume exceeding $14 billion, including card spending and account top-ups.
Digital dollars enter everyday commerce
Stablecoins are blockchain-based digital assets designed to maintain a stable value, usually by being linked to currencies such as the US dollar.
Payment cards allow consumers to hold stablecoins while paying through conventional card infrastructure. The digital assets are converted during the transaction, meaning the merchant normally receives local currency without needing to accept cryptocurrency directly.
Paymentscan data indicated that dollar-backed stablecoins financed more than 70 per cent of over ten million card transactions recorded in July. USDC represented 50.8 per cent of the volume, while USDT accounted for another 20.3 per cent.
Average transaction values increased to approximately $86, compared with $59 one year earlier.
Latin America leads emerging-market demand
RedotPay identified Latin America as the market with the highest adoption and strongest immediate growth potential, with Africa in second place.
The attraction is particularly strong in countries where consumers face currency instability, expensive international transfers or limited access to dollar accounts. Stablecoins can allow households and companies to hold digital dollars, make cross-border payments and access international online services.
Adoption is therefore being driven by practical financial problems rather than cryptocurrency trading alone. Reliable conversion between stablecoins and domestic currencies, wider smartphone access and clearer regulation have also supported growth.
Blockchain connects with existing networks
The expansion demonstrates how blockchain technology is becoming connected to traditional financial infrastructure.
Consumers can use digital assets while merchants continue operating through established card systems. This reduces the need for retailers to install specialised cryptocurrency technology or manage volatile digital assets themselves.
The model could be especially useful for small companies purchasing software, advertising or professional services from foreign suppliers. It may also offer travellers and migrant workers an alternative way to access funds across borders.
Growth creates financial risks
Stablecoin cards still depend on issuers, custodians, payment processors and conventional card networks. Users must trust that the assets supporting each stablecoin are properly managed and available for redemption.
Governments are also concerned about money laundering, consumer protection and the possibility that widespread use of dollar-backed tokens could weaken domestic currencies or reduce bank deposits.
Industry data should be interpreted cautiously because reporting methods differ and some transaction volumes are supplied directly by card providers rather than independently verified on public blockchains.
Regulation will determine the next phase
Stablecoin cards remain small compared with the more than $20 trillion spent annually through conventional cards. However, the rapid increase in transactions indicates that blockchain-based money is moving beyond investment and into ordinary commerce.
Emerging markets may continue leading this transition because the financial problems being addressed are often most severe there. Whether the forecast of $50 billion is achieved will depend on regulatory clarity, reliable reserves and the ability of providers to build trust while expanding quickly.
Newshub Editorial in Emerging Markets – 27 August 2026
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