USDC and USDT Dominate Crypto Card Spending as Market Shifts

The crypto card market has undergone a significant shift in recent months, with USDC and USDT emerging as the dominant payment methods. According to data from a16z crypto, these two dollar-backed stablecoins now account for approximately 84% of total crypto card spending, a dramatic reversal from early 2024 when euro-denominated stablecoins controlled most of the market.

The surge in popularity of USDC and USDT can be attributed to the growing adoption of crypto cards, which allow consumers to spend stablecoins and other digital assets at merchants that accept major card networks. In July, monthly spending reached approximately $759 million, a 2.5 times increase from the same period last year.

The blockchain market share has also shifted, with Optimism processing approximately 29% of tracked card volume, while Solana and Base each account for around 19%. Gnosis, once a major settlement network for crypto cards, has fallen to roughly 2%.