Crypto card spending has tripled in a year, reaching $1.04 billion in July. But the more notable figure lies in how people are using it: an increasing number of everyday purchases like groceries, ride-hailing, and food delivery.

According to Paymentscan data cited by venture capital firm a16z, USD-pegged stablecoins funded 70% of the more than 10 million tracked transactions. Among them, USDC accounted for 50.8% of July’s volume and USDT added another 20.3%, compared to roughly 48% and 7% in the same period last year. The average transaction value rose from $59 to $86.

This is a meaningful shift. Stablecoins were once primarily a tool for holding “digital dollars” and cross-border remittances. Now they are becoming another way to fund payment cards running directly on Visa and Mastercard networks, without merchants having to alter how they accept payments since balances are converted right at the point of sale.

The market remains concentrated. RedotPay alone logged $395.1 million in July volume, while EtherFi recorded $100.3 million and KAST $89.6 million, together accounting for about 77% of the total tracked volume. Notably, RedotPay’s figures are self-reported rather than directly observed on-chain.

The strongest signals are coming from emerging markets. StraitsX reported transaction value surged by around 600% in low-GDP countries between March 2025 and February 2026, compared to a rise of only about 150% in wealthier nations. In Brazil, Oobit recorded active users spending an average of around $400 per month, with 35% of activity at grocery stores. In Argentina, 72% of Oobit payments used USDT.

Even so, it remains a story of “holding more than spending.” Coinbase reported that about 16% of its card transactions involve USDC, while Coinbase One subscribers hold up to $20 billion in USDC on the platform, up 44% in a year. Stablecoins are serving two functions at once: preserving value against inflation, and allowing users to spend that very balance on everyday needs.

For an industry once criticized as being “purely for speculation,” having 70% of card spending funded by stablecoins—mostly for groceries, ride-hailing, and recurring subscription services—is a tangible sign that crypto is making its way into real life.