Visa and Yellow Card Promote Digital Dollar Adoption Across Africa
Visa has partnered with Yellow Card Financial, a prominent African stablecoin payments provider in a move that highlights the increasing integration of cryptocurrency solutions with traditional financial systems.
This collaboration aims to accelerate the use of digital dollars across the continent, driven partly by limited access to U.S. dollars and ongoing foreign exchange challenges in several countries.
According to a report by Bloomberg, the two companies have signed an agreement to promote stablecoin use for cross-border payments in emerging markets where Yellow Card operates. As part of this initiative, Yellow Card plans to launch stablecoin transactions with Visa in at least one African country this year, with further rollouts expected in 2026.
Chris Maurice, co-founder and CEO of Yellow Card, explained that the collaboration will focus on “enhancing treasury operations, improving liquidity management and enabling more cost-effective money transfers.” This partnership signifies a strategic move to leverage stablecoins to facilitate international transactions and financial inclusion across Africa.
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Data from Chainalysis indicates that while overall cryptocurrency usage in Sub-Saharan Africa saw a modest increase in 2024, stablecoin adoption is growing at a faster rate. This trend is largely fueled by limited access to U.S. dollars and foreign exchange crises in various nations. Yellow Card, recognized as Africa’s first licensed stablecoin payments operator, also functions as a cryptocurrency exchange. Since launching in Nigeria in 2019, the company has expanded to operate in 20 countries and has processed over $6 billion in transactions.
Regarding the rising popularity of stablecoins, Maurice stated, “All the major payment companies are exploring ways to get into this space.” The use of dollar-pegged stablecoins such as USDT (Tether) and USDC (USD Coin) has gained significant traction in the region. Nigeria and Ethiopia, two of Africa’s largest economies, have seen substantial growth in retail crypto adoption.
Chainalysis’s report revealed that “Stablecoins now account for approximately 43% of the region’s total transaction volume,” based on data from July 2023 to June 2024. USDC issuer Circle has also identified Africa as an important market for digital dollars and partnered with African payment provider Onafriq in April to pilot USDC settlements across 40 countries.
This partnership between Visa and Yellow Card underscores a broader trend of traditional financial giants recognizing the potential of stablecoins to enhance financial services in emerging markets, fostering greater financial inclusion and smoother cross-border transactions.
