90% of $600M monthly crypto-card volume runs on Visa. Stablecoins didn't kill intermediaries; they empowered them. What this means for investors and fintechs.
Visa processes ~90% of crypto-card volume, turning stablecoins into a complement, not a substitute.
Stablecoins were supposed to bypass credit card networks, but the fastest-growing consumer stablecoin product depends entirely on one. Data ...
The original stablecoin thesis was simple: remove banks and card networks, and payments become faster, cheaper, and decentralized. In practi...
Stablecoins were supposed to bypass credit card networks, but the fastest-growing consumer stablecoin product depends entirely on one. Data reported by The Kobeissi Letter shows crypto-card spending reached roughly $600 million per month, with $7.2 billion in cumulative on-chain card volume across 24 million transactions and 1.36 million wallets. Approximately 90% of those transactions were processed through Visa, with USDT accounting for 62.5% of settled volume. Jupiter Global, whose USDC-backed card runs on Visa rails, grew 660% month-over-month in the same dataset.
The Signal
The original stablecoin thesis was simple: remove banks and card networks, and payments become faster, cheaper, and decentralized. In practice, the average consumer doesn't want to deal with private keys, gas fees, or merchants that accept USDT. They want to pay with a card. And Visa, with 175 million merchant locations, offers exactly that.
crypto-card growth chart
The result is a paradox: stablecoins expand the pool of balances that can fund the card network at checkout, but leave the acceptance layer untouched. Visa wins because it already has the infrastructure: merchants, compliance, fraud tooling, chargebacks, and decades of consumer behavior. All it lacked was access to crypto wallet balances, and crypto cards solve that problem cleanly.
“Visa processes ~90% of crypto-card volume, turning stablecoins into a complement, not a substitute.”
On-Chain Data
On-Chain Data
Monthly crypto-card spending: $600 million, with an annualized run rate of $7.2 billion.
Visa's share: ~90% of transactions, with USDT dominating 62.5% of settled volume.
Jupiter Card growth: 660% month-over-month, backed by USDC on Visa rails.
Geographic expansion: Bridge-enabled stablecoin Visa cards live in 18 countries, with plans to reach over 100 by year-end.
Visa's stablecoin settlement pilot: $7 billion annualized as of Apr. 29, up 50% QoQ, operating across nine blockchains.
stablecoin data dashboard
Market Impact
For stablecoin issuers, this is a bittersweet victory. On one hand, stablecoin payment volume is growing exponentially: stablecoin-linked card spending reached $4.5 billion in 2025, up 673% from 2024, per McKinsey. But that volume isn't eroding Visa; it's strengthening it.
The real damage to traditional intermediaries is happening elsewhere. B2B stablecoin payments, estimated at $226 billion annually, are indeed cutting out correspondent banks and FX intermediaries. A Colombian supplier paying in USDC settles entirely on-chain, no intermediary banks needed. But when a consumer buys coffee, the transaction ends up on a Visa terminal.
The most exposed are direct crypto payment apps, crypto-native POS systems, and, to a lesser extent, commercial banks seeing deposits migrate to stablecoins. But Visa and Mastercard benefit by capturing interchange, data, and the consumer relationship on every transaction.
Your Alpha
Your Alpha
1Invest in traditional payment infrastructure that integrates crypto. Visa and Mastercard are better positioned than most crypto fintechs to capitalize on consumer stablecoin spending. Look for companies with exposure to this growing volume.
2Monitor crypto-card volume as an adoption indicator. Jupiter Card's 660% growth suggests real demand for spending stablecoins. If monthly volume exceeds $1 billion, the thesis that stablecoins will replace cards weakens further.
3Position in stablecoins and issuers. USDT and USDC benefit from rising volume, but also from geographic expansion. Bridge's expansion to over 100 countries is a catalyst for USDC.
trader analyzing stablecoin charts
Next Catalyst
The expansion of stablecoin-linked Visa cards to over 100 countries by year-end is the biggest event. If achieved, monthly volume could double or triple. Additionally, Visa's stablecoin settlement pilot, already on nine blockchains, could expand to more networks and push its annualized run rate beyond $7 billion.
Another catalyst is potential U.S. stablecoin regulation, which could provide legal certainty for issuers and accelerate institutional adoption. Any movement in Congress or the SEC will be relevant.
The Bottom Line
The Bottom Line
Stablecoins aren't killing Visa; they're making it stronger. For the consumer, the payment experience remains the same, but the underlying balance can now be USDC or USDT. For investors, the lesson is clear: legacy infrastructure that adapts to crypto wins, while projects trying to replace it from scratch face an uphill battle. The stablecoin payment market will grow, but within existing rails. Position accordingly.
Deeper Analysis: Implications for DeFi Ecosystem
Visa's dominance in stablecoin spending also has implications for the DeFi ecosystem. As more users opt for crypto cards, stablecoin balances that were previously in hot wallets or lending protocols are now moving to spending cards. This could reduce liquidity in DeFi, as users maintain smaller balances on decentralized exchanges and yield farming protocols. However, it could also increase demand for stablecoins, as users need to hold balances to spend. The net effect is uncertain, but DeFi protocols should monitor the migration of balances toward crypto cards.
Moreover, the integration of stablecoins with Visa could accelerate the adoption of programmable payments. For example, cards could allow spending rules based on smart contracts, such as automatic limits or rebates in stablecoins. This would open new possibilities for fintechs and card issuers, but would also require greater collaboration between the crypto world and traditional issuers.
Regulatory Context and Its Impact
Regulatory Context and Its Impact
U.S. stablecoin regulation remains a key factor. If a law providing clarity on reserve requirements and licensing is passed, issuers like Circle and Tether could expand more aggressively. This would benefit Visa, as more issuers mean more card volume. Conversely, restrictive regulation could slow growth. Investors should closely follow legislative developments, especially the Lummis-Gillibrand bill and SEC actions.
In Europe, the MiCA regulation is already in effect, providing certainty for stablecoin issuers. This has led to an increase in issuance of MiCA-compliant stablecoins, such as Circle's EURC. Visa will benefit from this regulatory clarity, as it can integrate these stablecoins into its card products without legal concerns.
Long-Term Outlook
In the long term, the relationship between stablecoins and Visa could evolve. If stablecoins gain enough traction, they could pressure Visa to reduce interchange fees, as stablecoin issuers have lower margins. However, for now, Visa has pricing power. Additionally, the emergence of decentralized payment networks like Lightning Network or layer-2 solutions could eventually compete with Visa at the point of sale, but they are still far from the necessary scale.
In summary, the stablecoin paradox is that instead of eliminating intermediaries, they have strengthened them. Visa is capturing the growth of stablecoin spending, while projects attempting to replace Visa struggle to gain traction. For investors, the smartest strategy is to bet on existing infrastructure that adapts to crypto, rather than betting against it.
