Western Union is building a prepaid card backed by stablecoins and targeting countries with high inflation rates.
Summary
- Western Union creates a prepaid card backed by stablecoins for high-inflation economies.
- The USDPT token on Solana will launch in 2026 and integrate with the company’s remittance network.
- The partnership with Rain enables Visa stablecoin cards and crypto-cash conversions.
The money transfer giant plans to offer the product in markets where local currency depreciation is eroding purchasing power, Chief Financial Officer Matthew Cagwin said at the UBS Global Technology and AI conference.
Cagwin cited Argentina as a prime use case, where inflation exceeded 200% last year. The dollar-denominated card would help preserve value for remittance recipients in economies facing rapid devaluation of their currencies.
Rain partnership brings Visa stablecoin cards
Western Union has partnered with Rain to issue Visa cards linked to stablecoins. The collaboration allows users to convert digital assets stored in wallets connected to the Rain platform into local cash at Western Union branches.
The company is building on- and off-ramps within its digital asset network to reduce reliance on the banking system and speed up fund settlement. “We are working with multiple vendors to build this infrastructure,” Cagwin said.
Western Union plans to launch the US Dollar Payment Token (USDPT) in 2026, a stablecoin issued by Anchorage Digital on the Solana network. The token will fit into the company’s broader digital asset strategy.
The prepaid card will serve as a bridge between stablecoins and everyday spending in high-inflation economies.
Users receive funds loaded onto dollar-denominated cards. Cards can be spent at merchants or collected in cash at Western Union branches.
The company reverses decade-long crypto skepticism
Western Union has maintained a dismissive stance toward cryptocurrencies for years. In 2017, Chief Technology Officer David Thompson questioned the viability of Bitcoin as a currency, comparing crypto to commodities rather than functional currency.
The company argued that digital assets lacked governance, compliance and stability for mainstream adoption.
The situation changed at the end of 2025 after the emergence of clearer regulatory frameworks. CEO Devin McGranahan said the historic caution stemmed from “concerns about volatility, regulatory uncertainty and customer protection.”
Other stablecoin news
Pakistan has announced plans to launch its first stablecoin as part of efforts to integrate virtual assets into the economy.
Bilal Bin Saqib, chairman of the Pakistan Virtual Assets Regulatory Authority (PVARA), told Binance Blockchain Week in Dubai that the country is “definitely” launching a stablecoin.
“I think it’s a great way to guarantee the public debt,” Saqib said. “We want to be at the forefront of this digital financial innovation. Why should we be at the end when we have the strength and adoption?”
PVARA is working on central bank digital currencies alongside the development of stablecoins. Saqib unveiled Pakistan’s strategic Bitcoin reserve earlier this year and the government allocated 2,000 megawatts of electricity for Bitcoin mining and AI data centers in May.
