Explosive Growth in the Crypto Card Market: Stablecoin Spending Soars

Crypto Card Market Explodes 15x as Stablecoin Spending Soars 106% Annually: Report

The landscape of crypto payments has seen a substantial shift, with the volume of crypto card transactions escalating from approximately $100 million monthly in early 2023 to over $1.5 billion by late 2025. This marks a remarkable 106% compound annual growth rate that now rivals peer-to-peer (P2P) stablecoin transfers, as detailed in an insightful report by Artemis Analytics.

Crypto Card Stablecoin Spending - Crypto Cards Volume

The rapid growth of the crypto card market positions it as a key connector between digital assets and everyday commerce, with annualized volumes exceeding $18 billion. In contrast, traditional P2P transfers saw a modest 5% increase to $19 billion during the same timeframe.

Visa has stepped forward as the leading player in the crypto card sector, claiming over 90% of the on-chain card volume through early collaborations with emerging program managers and full-stack issuers.

Crypto Card Stablecoin Spending - Visa Domination Chart

According to Artemis, Visa's strategy of partnering with infrastructure providers like Rain and Reap has proven to be more scalable compared to Mastercard's approach of direct exchange partnerships.

Key Insights

Crypto Card Popularity: The monthly volume of crypto card transactions rose dramatically, reaching $1.5 billion by late 2025.
Visa's Market Share: Visa dominates the crypto card market, handling over 90% of on-chain card transactions.
Innovative Issuers: Full-stack issuers are altering card economics by integrating multiple services into single platforms, making them more efficient.
Regional Focus: Notable opportunities for crypto card adoption exist in India and Argentina due to differing economic challenges.
Concerns from Banks: Major financial institutions are wary of the rise in yield-bearing stablecoins, fearing potential loss of traditional deposits.

Reshaping Card Economics with Full-Stack Issuers

The infrastructure for crypto cards consists of three main layers: payment networks, card-issuing platforms, and consumer-facing products. A key development within this space is the rise of full-stack issuers that hold direct Visa principal membership.

Companies like Rain and Reap have streamlined the traditional card issuance process, merging BIN sponsorship, lender-of-record status, and direct Visa network settlements into unified platforms. This integration allows them to retain financial benefits that were previously divided among various intermediaries.

In Q4 of fiscal 2025, Visa's stablecoin-linked card spending achieved a substantial $3.5 billion annualized rate, which represents a 460% increase from the previous year, even though this still constitutes about 19% of the total crypto card settlement volume.

Crypto Card Stablecoin Spending - Rough Map of Crypto Card Issuers

Centralized exchanges are utilizing cards as tools to attract more users, with platforms like Gemini accepting losses on credit card programs in order to foster greater user engagement.

Decentralized finance (DeFi) protocols, such as Ether.fi, offer attractive cashback rewards through token incentives, providing around 4.08% returns while simultaneously promoting total value locked (TVL) via collateralized borrowing features.

Geographic Opportunities in Stablecoin Adoption

India and Argentina emerge as hotspots for crypto card adoption, where USDC is approaching parity with USDT in market share, creating unique opportunities.

Crypto Card Stablecoin Spending - Geographic Usage Chart

India recorded significant crypto inflows of $338 billion in the year leading up to June 2025. However, stringent tax policies have channeled much of this activity offshore, revealing a strong demand for compliant crypto products that are currently hampered by regulatory obstacles.

Argentina’s prospects revolve around stablecoin debit cards designed to mitigate the effects of inflation, as there are no other digital payment rails available. Conversely, India has potential with crypto-backed credit cards given the ubiquity of UPI for debit functionalities.

Artemis emphasizes that in developed markets, the goal is to attract a high-value user base with increased digital asset holdings, rather than just meeting unmet payment needs.

For example, the established U.S. credit card market has seen a new segment emerge, with consumers maintaining meaningful balances in stablecoins, raising expectations for seamless spending options—creating opportunities for traditional card issuers to blend their scale advantages with capabilities related to stablecoins.

Strategic Importance of Crypto Cards

While major companies like Visa, Mastercard, PayPal, and Stripe are developing merchant acceptance systems that are stablecoin-friendly, three critical factors suggest that crypto cards will continue to hold strategic importance.

Artemis highlights the challenge of replicating network effects across 150 million merchant locations globally, which is a feat that will take substantial time and investment to achieve for new stablecoin-native systems.

Card networks also offer essential services that consumers expect—such as fraud protection, dispute resolution, unsecured credit, rewards programs, and purchase protections—making them less easily replicated by stablecoin transactions.

Crypto Card Stablecoin Spending - USDC vs USDT Chart

Earlier this month, Anthony Yim, co-founder of Artemis, noted that DeFi traders prefer USDC due to its flexibility for trading positions, with broader adoption driven by the need for a stable currency in an “unstable geopolitical landscape.”

In 2025, the total global transaction value for stablecoins reached $33 trillion, an increase of 72% from the previous year. Bloomberg Intelligence projects this figure will rise to $56 trillion by 2030.

Revolut saw its stablecoin payment volumes rise by 156%, reaching approximately $10.5 billion, with most transactions falling between $100 and $500, accounting for 30% to 40% of platform activity.

However, despite the growing acceptance of stablecoins, major banks are increasingly resistant to yield-bearing stablecoins, expressing concerns that they could siphon off trillions from traditional deposits.

Bank of America’s CEO, Brian Moynihan, warned that up to $6 trillion could transition into stablecoins, while JPMorgan’s Jeremy Barnum cautioned against the “creation of a parallel banking system” lacking sufficient safeguards.

This resistance has led to delays in the Senate Banking Committee's plans to advance a sweeping cryptocurrency market structure bill, after Coinbase withdrew its support, with Chairman Tim Scott citing ongoing bipartisan negotiations over measures that would regulate stablecoin yield payments.