Western Union is taking a big step into digital assets with plans to roll out a stablecoin-backed prepaid card designed for countries struggling with severe inflation. The move marks a major shift for the global remittance giant, which for years kept its distance from crypto.
Speaking at the UBS Global Technology and AI Conference, CFO Matthew Cagwin explained that the company wants to give users in inflation-heavy markets a way to preserve value. In countries like Argentina—where inflation soared past 200% last year—remittances often lose purchasing power quickly. A prepaid card denominated in U.S. dollars and backed by stablecoins aims to solve that problem.
A New Stablecoin, Visa Cards, and Faster Conversions
The upcoming card will be tied to the US Dollar Payment Token (USDPT), a new stablecoin slated for launch in 2026. The token will be issued by Anchorage Digital and built on Solana, known for its low fees and fast transactions. Western Union plans to integrate USDPT across its digital asset ecosystem, allowing customers to use stablecoins for everyday spending in high-inflation countries.
Western Union is also partnering with crypto platform Rain to introduce Visa cards linked to stablecoins. Through this partnership, users can convert digital assets stored in wallets connected to Rain directly into local cash at Western Union branches. The company says it is developing on-ramp and off-ramp infrastructure to reduce reliance on traditional banks and speed up settlement times.
Reversing a Long History of Crypto Skepticism
The new initiative represents a major turn for Western Union. The company had long been critical of crypto—back in 2017, its CTO even questioned whether Bitcoin could ever function as real currency, arguing it behaved more like a commodity. Concerns around volatility, a lack of regulatory clarity, and compliance risks shaped the firm’s cautious stance for years.
But that tone shifted in late 2025. With clearer global regulations and growing interest from customers, CEO Devin McGranahan said Western Union could no longer ignore the role digital assets were beginning to play in global finance.
Stablecoins Gain Momentum Globally
Western Union’s move comes as more countries explore their own digital asset strategies. Pakistan recently announced plans to launch its first national stablecoin. Bilal Bin Saqib, chairman of the Pakistan Virtual Assets Regulatory Authority, said the project could help collateralize government debt and strengthen the country’s position in digital finance.
Pakistan is also working on Central Bank Digital Currency initiatives and has already unveiled a Strategic Bitcoin Reserve. Earlier this year, the government allocated 2,000 megawatts of electricity to support Bitcoin mining and AI data centers.
With inflation rising in several emerging markets and stablecoin adoption accelerating worldwide, Western Union’s upcoming prepaid card signals a new chapter for remittances—one where digital dollars could play a crucial role in protecting value for millions of users.
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