As of April 2025, stablecoins have eclipsed Visa in annual transaction volume, a historic achievement for the cryptocurrency industry that heralds a major shift in global payments. According to recent data, stablecoins processed $12.3 trillion in transactions over the past year, surpassing Visa’s $11.8 trillion. This turning point reflects the growing embrace of digital currencies and their ability to challenge giants like Visa and Mastercard. This article delves into what this means for the crypto market, payment systems, and the world economy.
Stablecoins’ Rise Over Visa: The Figures
Stablecoins, cryptocurrencies anchored to assets like the U.S. dollar, have seen meteoric growth. Their transaction volume jumped 85% in 2024, driven by applications in cross-border transfers, DeFi platforms, and routine purchases. Tether’s USDT and Circle’s USDC dominate, holding over 90% of the stablecoin market. USDT accounted for $8.5 trillion in transactions, and USDC managed $2.9 trillion, lifting the total stablecoin market cap to $226 billion by April 2025, a 28% rise from 2024.
Visa, a payments powerhouse, has long led with its ability to handle 24,000 transactions per second (TPS). However, stablecoins have leveraged blockchain advancements to close the gap. Solutions like the Lightning Network for Bitcoin and the Raiden Network for Ethereum allow stablecoins to process transactions instantly, with some networks managing millions of TPS, dwarfing Visa’s capacity.
Drivers of Stablecoin Success
Stablecoins have outpaced Visa for several reasons. First, their low fees make them a cost-effective choice for cross-border payments, where Visa’s 2-3% fees accumulate. Running on blockchains like Ethereum, Solana, and Polygon, stablecoins charge less than 1%, saving users billions. For example, a $10,000 USDC transfer on Solana costs under $0.10, versus $200-$300 through Visa’s global network.
Second, stablecoins are highly accessible. Unlike Visa, which demands a bank account or credit, stablecoins require only a smartphone and internet, making them vital for the unbanked in places like Latin America and Africa, where adoption is surging. Firms like Bridge, which secured $58 million for stablecoin-based remittances, are collaborating with platforms like Bitso to reach millions in emerging economies.
Third, stablecoins are integral to DeFi, fueling platforms like Aave and Uniswap for lending, trading, and borrowing. With $300 billion in total value locked (TVL) in DeFi protocols as of April 2025, this activity drives stablecoin demand, amplifying transaction volumes.
Future Implications for Payments
Stablecoins surpassing Visa points to a broader transformation. Experts predict stablecoins could capture 30% of digital payments by 2030, up from 12% now. Traditional systems are adapting—Visa has partnered with Circle to incorporate USDC, and World Network is reportedly discussing stablecoin payments with Visa using Worldcoin’s biometric verification.
Yet, obstacles remain. Regulators like the SEC and ESMA flag stablecoins as potential risks to financial stability, particularly over USDT’s reserve transparency. Compared to Visa’s strong fraud protections, stablecoins face challenges in ensuring user trust and security.
Conclusion
Stablecoins topping Visa in 2025 is a defining moment for digital payments, showcasing blockchain’s disruptive power. As they expand in DeFi, remittances, and daily use, stablecoins are redefining global transactions. Addressing regulatory and trust issues will determine their long-term success. The crypto market marks a historic win, but the payment race is ongoing.
