- Western Union launched Stablecard, which combines the functionality of a USDPT-backed digital wallet and Visa credit card.
- The USDPT stablecoin, powered by Solana, maintains a 1:1 peg with the US dollar.
Western Union, a global money transfer service, and Rain, a stablecoin infrastructure provider, have jointly announced the launch of Stablecard on Tuesday. The product modernizes the remittance giant’s cross-border money movement by offering consumers access to blockchain-powered rails for holding, managing, spending, or transferring value.
Main Features of Western Union’s Stablecard
Stablecard doubles as a digital wallet and a Visa credit card. Western Union and Rain also designed it to hold balances in USDPT (US Dollar Payment Token).
USDPT is Western Union’s flagship stablecoin, which is pegged to and redeemable for US dollars at 1:1. The Solana (SOL) chain underpins the asset, and Anchorage Digital Bank, a federally chartered digital asset bank in the US, issues it.
Western Union only offers Stablecard across 37 markets upon launch. However, it plans to expand the product’s reach to at least 60 markets before year-end.
Advantages Unlocked by the Product
Stablecoins typically focus on simply providing people an efficient way to move and store value. Stablecard takes the notch up by making them easy to spend.
Since Stablecard rides on Visa’s card network, it’s accepted across establishments operating within the Visa ecosystem. It’s recognized by more than 175 million merchants globally, including Apple Pay and Google Pay.
Additionally, customers can use their USDPT holdings seamlessly across online and physical stores without needing to convert their balances to fiat. The model significantly mitigates their exposure to local currency volatility and closes their doors to unnecessary intermediaries as they enjoy almost real-time, 24/7, and cheaper means of moving money.
“Stablecard represents the next step in making global financial services more accessible to our customers,” said Devin McGranahan, President and Chief Executive Officer of Western Union. “By combining the stability of a dollar-backed digital asset with the scale of Western Union’s global network and Visa’s acceptance footprint, we’re giving consumers a new way to hold value, move money and spend confidently across borders.”
Meanwhile, Rain’s platform ensures that Stablecard’s modernized payment and remittance capabilities adhere to the highest level of institutional and regulatory standards.
“Western Union is putting stablecoin efficiency in the hands of people who have never thought about onchain money and never need to,” added Farooq Malik, CEO and Co-founder of Rain. “With Rain’s enterprise infrastructure underneath both the wallet and card, users enjoy a modern experience that just works with all of the compliance and protections built in.”
Stablecoin Market Snapshot
As of Tuesday, stablecoins have already surpassed a combined market cap of $295 billion. On the other hand, their average transfer volume has exceeded $4.65 trillion over the last 30 days.
Dominating the sector are Tether’s USDT and Circle’s USDC, which account for more than 88% of the overall stablecoin market. Western Union’s USDPT stablecoin only has a market cap of $6.87 million.
