Stable coins are integrated into daily consumption, and encryption cards are expanding

Consumption of cryptocurrency-linked cards reached a record high of US$1.04 billion in July

In July this year, total consumption of cryptocurrency-linked cards reached a record high of US$1.04 billion. Of the more than 10 million transactions tracked, about 70% are funded by stablecoins. USDC has become the main asset behind card consumption. The existing bank card network is gradually becoming a bridge between the dollar and merchants on the chain.

According to relevant reports, in July 2026, the monthly consumption of crypto-associated cards exceeded US$1 billion for the first time, marking the entry of a new stage in the application of stablecoin-consumers are increasingly using digital dollars for daily payments rather than mainly for transactions, transfers or monetization of crypto-assets.

The $1 billion milestone is very different from the early crypto-card boom

Crypto-payment cards are nothing new. What has really changed is the types of assets behind them and how often people use them. Monthly consumption tracked in July reached $1.04 billion, more than triple the same period last year. The average transaction volume rose from about $59 to $86, with the total number of transactions exceeding 10 million.

These data are important because in a market that mainly revolves around occasional large crypto withdrawals, the trading characteristics will be very different. The report shows that consumer content increasingly includes common categories such as groceries, online ride-hailing and takeaways.

The composition of July activity makes this shift clearer:

USDC: accounted for 50.8% of tracking card transactions
USDT: accounted for 20.3%
Total dollar-backed stablecoins: approximately 70%
Tracking transaction volume: more than 10 million
Average transaction volume: approximately US$86
Total monthly consumption: US$1.04 billion

USDC has a particularly prominent position. A year ago it accounted for about 48% of trading volume, while USDT accounted for only about 7%. Both increased, but USDT's market share increased more significantly during this period.

stablecoins win consumption scenarios, but do not replace traditional cards

There is an important difference behind these numbers: merchants usually do not need to directly accept USDC or USDT. Encryption cards solve the "last mile" problem by connecting the user's digital balance with the payment infrastructure already used by the merchant. Depending on the card structure, the encrypted or stablecoin balance can be used for payment, while the merchant completes the settlement through familiar payment channels.

This removes one of the biggest obstacles to direct crypto payments. Supermarkets, restaurants or online retailers do not need to install wallets, manage private keys, or add a separate blockchain checkout system. Customers only need to recharge their cards with stablecoins.

Artemis Research found that in the broader data set it inspected, crypto card transaction volume has climbed from approximately US$100 million per month at the beginning of 2023 to more than US$1.5 billion per month at the end of 2025, with an annualized scale exceeding US$18 billion.

Why card payments grow faster than direct settlement using stablecoin

Technically, stablecoins can be transferred directly between wallets without the need for Visa, Mastercard or banks. But in the retail consumer space, technical capabilities are only part of it. Existing bank card networks already provide global merchant coverage, authorization systems, refunds, fraud management and a consumer familiar checkout experience. As a result, crypto card issuers can focus on connecting blockchain balances to that infrastructure without having to convince millions of merchants to change their payment methods.

Artemis regards cards as one of the main bridges between stablecoins and real business. By the end of 2025, the scale of card consumption will be close to the scale of point-to-point stablecoins transfers. This has an unusual consequence for crypto payments: stablecoins may be replacing some of the banking infrastructure behind the cards, while the consumer-facing payment experience remains largely unchanged.

Users can hold digital dollar encrypted wallets and swipe their cards to spend on traditional terminals, without merchants basically knowing that the transaction is supported by blockchain assets.

Emerging markets give stablecoin cards a different meaning

The strongest use cases may not come from markets where consumers already have easy access to U.S. dollar bank accounts and low-cost payment cards. The latest analysis shows that regions with lower GDP contribute significantly to growth. Payments company StraitsX reported that total transaction volume in these markets increased by approximately 600% between early 2025 and 2026.

This changes the economic use of encryption cards. For users in developed markets, paying using USDC may just be an alternative to bank account spending. In economies with high currency fluctuations, limited U.S. dollar banking services, or high cross-border financial services, the stablecoin balance can also be used as U.S. dollar denominated savings that can be consumed at any time. Cards effectively eliminate the extra step of transferring those funds back to local banks before they can be used for daily consumption.

The greater opportunity lies in becoming the account behind the card.

As consumption grows, competition is shifting from simply issuing another encrypted brand card to controlling the balance of user consumption. Wallets, exchanges and stablecoin platforms are increasingly motivated to keep assets in their ecosystems. If users earn income in the form of stablecoins, store the stablecoins in wallets, and spend them directly from the same balance, there will be fewer reasons for transferring money to traditional bank accounts.

This is why the growth of encryption cards far exceeds the $1.04 billion monthly figure. Payments themselves may still be made through traditional card infrastructure, but the financial accounts that fund them are increasingly existing on the chain. This model also explains why stablecoins have become much more important in crypto payments than volatile assets such as Bitcoin. Consumption using Bitcoin carries price risk and may force users to sell an investment that is appreciating or devaluing every time they make a purchase. Dollar backed tokens, on the other hand, maintain the familiar unit of pricing.

Therefore, the next important indicator will be trading frequency, not another headline-style trading volume record. More than 10 million tracking transactions have been generated in July. If this number continues to rise while the average transaction size remains relatively moderate, it will be a stronger evidence that crypto cards are becoming a reusable payment tool, rather than just a convenient way to cash out large digital asset balances.