Yellow Card plans to roll out stablecoin payments with Visa in at least one African country this year amid a trend driven partly by limited access to US dollars.
Credit card giant Visa has partnered with Yellow Card Financial, an African stablecoin payments provider, to accelerate the adoption of digital dollars across the continent, underscoring the growing synergy between traditional payment networks and cryptocurrency solutions.
The two companies have signed an agreement to promote stablecoin use for cross-border payments in emerging markets where Yellow Card operates, Bloomberg reported Thursday. Yellow Card will launch stablecoin transactions with Visa in at least one African country this year, with additional rollouts expected in 2026.
Chris Maurice, co-founder and CEO of Yellow Card, said the collaboration will focus on enhancing treasury operations, improving liquidity management and enabling more cost-effective money transfers.
Sub-Saharan Africa saw a modest increase in overall cryptocurrency usage in 2024, but stablecoin adoption is accelerating more rapidly, according to a report by Chainalysis. This trend is largely driven by limited access to US dollars and ongoing foreign exchange crises in several countries.
Yellow Card, Africa’s first licensed stablecoin payments operator, also functions as a cryptocurrency exchange. After launching in Nigeria in 2019, the company now operates in 20 countries and has processed over $6 billion in transactions, according to its website.
Regarding stablecoins, Maurice said, “All the major payment companies are exploring ways to get into this space.”
Related: The empire strikes out: Institutionalists failed to kill the stablecoin bill
Stablecoin adoption in Africa is on the rise
Dollar-pegged stablecoins such as USDt (USDT) and USDC (USDC) have gained significant traction in Africa. Nigeria and Ethiopia, two of Africa’s largest economies, have seen significant growth in retail crypto adoption.
“Stablecoins now account for approximately 43% of the region’s total transaction volume,” Chainalysis said in its report, which analyzed crypto usage between July 2023 and June 2024.
USDC issuer Circle has identified Africa as a vital market for digital dollars. In April, the company partnered with African payment provider Onafriq to pilot USDC settlements across 40 countries.
Related: Xend Finance, Risevest launch tokenized stocks platform in Africa
