Stablecoin Cards Gain Ground in 2026 as Payment Volumes Surge and Regulatory Frameworks Evolve

Stablecoin-based payment cards are emerging as one of the defining themes in the cryptocurrency landscape in 2026, according to Haseeb Qureshi, a managing partner at Dragonfly Management. Transaction volumes for stablecoin-based payments surged 72% year-over-year to $33 trillion, signaling a major shift in digital finance.

Rain, a major fintech company, recently raised $250 million in funding, highlighting the momentum behind stablecoin infrastructure. The firm is issuing stablecoin cards through the Visa network and has achieved acceptance in over 150 countries. This expansion supports faster, lower-cost transactions, especially in markets with unstable local currencies.

Artemis Analytics reported that crypto card volumes have surged from roughly $100 million monthly in early 2023 to over $1.5 billion by late 2025. This growth represents a 106% compound annual growth rate, with stablecoin card transactions rivaling peer-to-peer (P2P) stablecoin transfers.

Why the Move Happened

Several factors are contributing to the surge in stablecoin card usage. Regulatory clarity and institutional adoption are playing a key role. For example, the U.S. enacted the GENIUS Act, which has spurred regulatory activity globally. Canada and the UK have also advanced their stablecoin frameworks, creating a more predictable environment for fintech companies.

Western Union, for instance, is planning to roll out a stablecoin settlement system on Solana in early 2026. The firm is also launching a stablecoin card for consumers in emerging markets, indicating a broader acceptance of stablecoins in traditional financial services.

How Markets Responded

The surge in stablecoin adoption is not without its skeptics. Some analysts argue that stablecoin-based payment networks lack the exclusivity and incentives that traditional card systems provide. Sheel Mohnot of Better Tomorrow Ventures noted that for many consumers and merchants in developed markets, the current card system is not broken. "You can't build a new payment network without exclusivity or a compelling forcing function," he remarked.

Despite these concerns, major card networks are adapting. Visa, for instance, has captured over 90% of on-chain card volume through early partnerships with program managers like Rain and Reap. This strategy has proven more scalable than Mastercard's direct exchange partnerships. In Q4 fiscal 2025, Visa's stablecoin-linked card spend reached a $3.5 billion annualized run rate, up 460% year-over-year.

What Analysts Are Watching

Market participants are closely monitoring the regulatory landscape. The U.S. Senate Banking Committee postponed its planned markup of a sweeping crypto market structure bill after Coinbase withdrew support. The delay highlights the ongoing negotiations over provisions that would restrict stablecoin yield payments.

Meanwhile, more than 3,200 banks have signed a petition led by the American Bankers Association warning that allowing crypto to offer interest-like rewards could siphon trillions from local lending. These concerns reflect broader fears that stablecoin adoption could destabilize traditional banking systems by draining deposits.

Artemis Analytics projects that stablecoin payments will grow at a compounded annual rate of 81%, reaching $56.6 trillion by 2030. This growth is being driven by emerging markets, where stablecoins provide a hedge against inflation and unreliable local currencies.

Investors and financial institutions are also exploring ways to integrate stablecoins into traditional financial products. Interactive Brokers recently announced that it will allow clients to fund their brokerage accounts using stablecoins, offering near-instant processing and 24/7 availability.

The rise of stablecoin-based payment systems is reshaping the financial ecosystem. As regulatory frameworks evolve and institutional interest grows, stablecoins are proving to be more than just a speculative asset. They are becoming a foundational element of the global payments infrastructure.