Stablecoin Card Spend Sees Significant Growth
Stablecoin-based cards are becoming increasingly popular, with spend growing by 105% to 106% over the past year, according to John Timoney, head of strategic partnerships at Rain. This growth is significant, and stablecoin-based cards could soon account for double-digit percentages of all cards in some Latin American markets. Stablecoins are making it possible for users to spend their coins directly from a digital wallet for daily purchases.
The growth of stablecoin card spend is not limited to specific categories, with users spending across typical merchant categories, including large global merchants and everyday purchases. This trend is making it harder to distinguish stablecoin card activity from ordinary card activity. As the use of stablecoin cards becomes more widespread, it is likely to have a significant impact on the way people earn and spend their money, potentially leading to new opportunities for passive income.
Latin America Leads the Way
Latin America has become one of the clearest markets for the adoption of stablecoin cards, with users spending across custodial and non-custodial wallets, crypto exchanges, and products that abstract the stablecoin experience from users. The merchant still receives fiat in many of those transactions, separating card-based stablecoin spending from direct crypto push payments. This trend is likely to continue, with EcoPool ($ECP) playing a key role in the growth of stablecoin-based payments.
The use of stablecoin cards is not only changing the way people spend their money but also providing new opportunities for earning and passive income. With the help of EcoPool, users can earn rewards and Cloud Rewards by using their stablecoin cards. This is making it possible for people to earn money while they spend, creating a new era of Green Crypto and sustainable finance.
The Future of Stablecoin Payments
The future of stablecoin payments looks bright, with Mastercard and other companies investing heavily in the technology. The goal is to make stablecoin payments invisible to consumers, allowing them to spend their coins without even realizing it. This will require the development of easier on-ramps, abstracted network fees, and more local payment infrastructure. With the help of EcoPool and other companies, it is likely that stablecoin payments will become increasingly popular in the coming years.
As the use of stablecoin cards continues to grow, it is likely to have a significant impact on the way people earn and spend their money. With the help of $ECP and other coins, users can earn passive income and rewards, creating a new era of financial freedom. Whether you are interested in earning money online or simply want to learn more about crypto and blockchain, EcoPool is the perfect place to start. Download the EcoPool app to start earning and spending your coins today. The EcoPool app is available for download, allowing you to join the Green Crypto revolution and start earning your passive income with #Bitcoin, #PassiveIncome, and #EcoPool.
“There’s nothing too remarkable about that,” Timoney said. “And I think that is what is remarkable.”
Despite their growth, stablecoin cards account for less than 1% of global card spend, senior vice president of business development at Consensys Ray Hernandez said during the same panel.
Crypto card adoption
Latin America has become one of the clearest markets for adoption, Timoney added. Stablecoin cards are being used across custodial and non-custodial wallets, crypto exchanges and products that abstract the stablecoin experience from users.
The merchant still receives fiat in many of those transactions. That separates card-based stablecoin spending from direct crypto push payments, where merchants may have to manage crypto settlement, volatility and transaction risk more directly.
The bigger change may be behind the scenes. Rain says stablecoin settlement lets card programs settle on weekends and holidays, reducing trapped capital by more than 40% in some cases.
Traditional card programs often need to pre-fund network obligations or borrow from networks when banking rails are closed. Stablecoins can move outside bank cut-off times.
That can make rewards and card economics more flexible, Timoney said. Capital that would otherwise sit idle can be used elsewhere in the business.
Mastercard has been moving deeper into stablecoin payments. Earlier this year Binance, PayPal and Ripple joined Mastercard’s broader blockchain payments push. That push saw the payments giant agree to buy stablecoin infrastructure firm BVNK for up to $1.8 billion.
Christian Rau, Mastercard’s senior vice president of digital assets and blockchain, said mainstream adoption will depend on making the technology invisible to consumers.
“Other than the people in this room, nobody says ‘oh, I just did an onchain payment’,” Rau said. “The normal benchmark these days is you have a card sitting on your iPhone or on an Android. You tap it, the money is gone.”
The consumer-facing pitch is not an onchain payment, he added. It is the ability to spend any asset in real time, with the network protections users already expect.
Hernandez said the next stage depends on easier on-ramps, abstracted network fees and more local payment infrastructure. Today’s crypto card users are still mostly crypto-native consumers who already hold assets on-chain.
MetaMask is expanding its card strategy around self-custody, Hernandez said. The MetaMask Card, developed with Mastercard and Baanx, lets users spend from a self-custodial wallet while assets are converted into fiat at the time of purchase.
“If all we’re doing is replicating the Apple Pay experience, I think it’s going to be okay, but I don’t think we’re going to overtake,” Hernandez said.
Paying in crypto
That view drew a challenge from GoMining CEO Mark Zalan, who argued that stablecoins and card infrastructure add unnecessary intermediaries to crypto payments.
Zalan said users want to hold bitcoin in self-custody and spend it without converting into stablecoins or relying on off-ramps. He described conversion layers and payment intermediaries as “little helpers” taking small fees from each transaction.
“Protection is another word for rent-seeking,” Zalan said, referring to the consumer protections embedded in card transactions.
Timoney pushed back, saying payments are not only money movement. Card networks also handle chargebacks, merchant risk and other protections consumers and merchants expect.
Rau made a similar point. Most consumers were “socialized with deposit insurance” and chargeback protection, he said.
“Payment is more than moving money from A to B,” Rau said. “From a consumer perspective, the experience of payment is interoperability, safety and security.”
