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Payments giant MoneyGram has announced its entry into the stablecoin-based debit card market, choosing Latin America as its launch market. The project is built on the Stellar (XLM) blockchain network, which powers the new virtual Visa card.
The pilot launch took place in Colombia in partnership with fintech platform Rain and crypto service Crossmint, allowing users in the region to convert digital dollars directly into everyday purchases.
The product is tailored to the specifics of the Latin American market, where cross-border remittances traditionally play a major role and consumers seek accessible tools to protect their funds from inflation.
At this stage, the card is available through the MoneyGram app after users complete identity verification (KYC). It can be instantly linked to Apple Pay or Google Wallet for contactless payments at any retailer that accepts Visa.
Automatic USDC conversion, Apple Pay integration and no deposit insurance: Key technical details of the project
The key feature of its Stellar-based architecture is automatic conversion at checkout. Customers hold their balances in USDC, while the system instantly converts the cryptocurrency into fiat pesos at the moment of purchase for settlement through Visa's global network.
The Stellar network provides transaction speed, while Crossmint supplies the wallet custody infrastructure. The company also confirmed that the card will soon support MoneyGram's own stablecoin, MGUSD, which was issued on Stellar earlier this year.
The use of the Stellar blockchain in Latin America is driven by the partners' plans to transform the remittance market: instead of withdrawing cash, recipients will be able to move directly to cashless payments.
By the end of 2026, MoneyGram plans to issue physical cards that will allow users to withdraw local currency from ATMs and expand the service to other countries across the region.
Users are also reminded that stablecoin balances are not bank deposits and are not protected by government deposit insurance programs.
U.Today Editorial Team
Dan Burgin
