New data from Visa and blockchain analytics firm Allium shows that stablecoins transactions have eclipsed $5 trillion across one billion payments this year.
These tokens are now jointly worth 47% more at a value of $255 billion since Donald Trump was declared the victor in the 2024 U.S. presidential election last November. Analysts linked the jump to investor excitement, greater regulatory clarity, and new corporate use cases.
Stablecoins are finally delivering on their long-touted promise: offering a faster, simpler, and cheaper alternative to outdated payment systems. This shift is especially transformative for countries sidelined by major banks and payment networks, where transfers that once took days can now be completed in minutes—unlocking fresh opportunities for both consumers and businesses.
Despite the hype, stablecoins have not solved the foreign exchange (FX) costs that have plagued cross-border payments for years.
Even converting one fiat currency into another—for example, euros to Hong Kong dollars—is still accompanied by spreads, conversion fees, middleman fees, and slippage. These costs also hold for crypto-based transfers, particularly during the on- and off-ramp when monies are transitioning between blockchain and traditional bank accounts.
Mike Robertson, the CEO of FX infrastructure provider AbbeyCross, said the crypto industry often assumes technology can solve all problems, which he described as a naive view when it comes to foreign exchange. He noted that each currency operates under different dynamics and pointed out that if money is being made in a particular area, its value remains. Robertson added that most banks and payment providers earn revenue from FX rather than transaction fees.
That fact continues to dampen one of the main selling points for stablecoins: they can offer genuine, cheap cross-border transactions.
Startups target ‘exotic’ routes
London-based payments startup BVNK is focusing on often underserved channels, such as transfers from Sri Lanka to Cambodia. Sagar Sarbhai, the firm’s APAC managing director, explained that such routes typically require several intermediaries, making them expensive and slow. He said stablecoins simplify the process, noting that while they are not cheap, they are faster and more capital-efficient. BVNK currently processes around $15 billion annually.
Other companies, such as Thunes in Singapore and Aquanow in Canada, are working to link blockchain trades with “last mile” provision into local currencies and wallets by partnering with stablecoin issuers or large corporates.
Regulation spurs institutional growth
The question is whether the industry is moving toward a future shaped by the GENIUS Act, signed into U.S. law on July 18, 2025. Circle’s Secure team, the company behind the USDC21 proposal to regulate stablecoins, is closely watching developments. This week, new legislation offering federal assurance on stablecoins was introduced in both the House and Senate. The proposal requires that stablecoins be fully backed 1:1 with high-quality assets, undergo regular audits, and maintain consistent transparency.
Banks have responded quickly. In the short term, Bank of America projects that these rules could add anywhere from $25 billion to $75 billion in stablecoin supply. The payments behemoth Visa is looking at “stablecoin sandwiches”—tokens between two fiat currencies to avoid networks like SWIFT and settle in minutes. The platform Visa launched in October 2024, allowing banks to generate, redeem, mint, and burn fiat-backed tokens (including stablecoins).
Companies are beginning to move as well. Ripple buys Stablecoin payment platform Rail for $200 million, which adds to the cross-border ecosystem. Thunes, based in Singapore and raising $150 million in April, intends to become more deeply integrated with stablecoin networks.
Industry leaders predict NFT usage will surge as regulation, infrastructure, and institutional participation advance toward mainstream adoption. BVNK’s Sagar Sarbhai said hockey-stick growth is only beginning, noting that the foundation took five years to build but could expand dramatically within the next 12 months.
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