Crypto Card Spending Surges Past $1 Billion as Stablecoins Fund Everyday Purchases

Crypto-linked card spending more than tripled over the past year, topping $1 billion in July as dollar-backed stablecoins increasingly funded routine consumer purchases such as groceries, ride-hailing and food delivery, according to data from Paymentscan cited by venture capital firm a16z.

Stablecoins backed 70% of the more than 10 million transactions tracked during the month, with USDC accounting for 50.8% of July volume and USDT contributing another 20.3%. A year earlier, those shares stood at roughly 48% and 7%, respectively. The average payment climbed to about $86 per transaction from $59 over the same period, a combination of higher transaction counts and larger individual purchases that signals a shift away from occasional crypto off-ramps toward everyday spending.

"The real measure of crypto's progress is not simply how many people own digital assets, but how useful those assets become in everyday life," said Thomas Gregory, VP of Payments and Fiat at Binance. "Stablecoin-funded cards are one example of how digital assets are becoming more deeply embedded in everyday life, giving users greater flexibility in how they spend, move and access their money."

Crypto cards allow users to fund purchases with stablecoins or other digital assets while merchants continue receiving local currency through existing payment networks. Depending on the product, funds may be held with the card issuer or in a self-custody wallet before being converted at checkout.