According to Yellow Card, one of Africa’s leading digital asset platforms, 70 per cent of stablecoin users rely on them for personal needs such as remittances and savings.
When most people think about cryptocurrency, they often mainly picture trading, price volatility, and big wins or losses.
But now, the story looks very different. Stablecoins, a cryptocurrency pegged to the value of a stable asset like the US dollar, are used less as investment tools and more as everyday financial needs.
This is a big reminder that in Africa, digital assets aren’t just about chasing profits; they’re about meeting urgent financial need.
Why stablecoins matter in Africa
Across Sub-Saharan Africa, stablecoins fill gaps left by struggling local currencies and costly financial systems. Inflation is a persistent challenge in many countries, eating away at household savings and weakening the value of local money.
Stablecoins, in a way, give people another option for storing value in digital dollars so that they don’t lose purchasing power as quickly.
For families who depend on money sent home from relatives working abroad, stablecoins are also becoming a cheaper and faster alternative to traditional remittance services.
Instead of waiting days and paying high fees, such as 7 to 10 per cent, through banks or money transfer operators, money can arrive within minutes at a low cost.
This practical use explains why stablecoins accounted for 43 per cent of all cryptocurrency transaction volume in Sub-Saharan Africa in 2024.
In countries like Nigeria and South Africa, they have even overtaken Bitcoin in popularity, reflecting their role as a more stable and sound financial tool.
Meanwhile, the 70 per cent personal-use figure tells us something powerful about African adoption: it is driven by ordinary people, not just big institutions or tech-savvy investors.
Lasbery Chioma Oludimu, Vice-President of Global Operations and Managing Director of Yellow Card Nigeria, says, “Increased stablecoin adoption, driven by innovative use cases, is expected to attract further regulatory interest.”
These stories indicate how digital assets are becoming woven into everyday life. For example, a shopkeeper in Lagos may hold part of her income in stablecoins to protect against the naira’s daily change, or a student in Nairobi may receive tuition support from a relative in London via a stablecoin transfer.
Even with that, businesses are beginning to see potential. Yellow Card’s analysis shows that 30 per cent of stablecoin users in Africa are already deploying them for business operations. This includes:
1 Cross-border payments for importers and exporters.
2 Supply chain settlements, making international trade smoother.
3 Payroll management, especially for companies working with remote teams across multiple countries.
Corporate use grew by 25 per cent last year, reflecting how stablecoins can save companies money on foreign exchange and banking fees.
In South Africa, for example, businesses in the Southern African Development Community are turning to stablecoins to simplify regional trade.
Governments and regulators take notice
As adoption grows, regulators are being forced to respond. In Nigeria, the Securities and Exchange Commission has already taken steps to regulate the sector.
Questions also exist about how stablecoins will coexist with the digital currency of the eNaira, Nigeria’s central bank.
Oludimu notes that this shift could push governments to act: “Greater use of stablecoins could compel the government to enhance the utility of its central bank digital currency [the eNaira] or foster coexistence with private stablecoins.”
South Africa has adapted quickly. Since 2022, its Financial Sector Conduct Authority has officially recognised crypto assets as financial products.
This regulatory clarity gives businesses and investors more confidence and could position the country as a blockchain finance hub.
Still, he warns that balancing innovation with consumer protection will be the key challenge. As Oludimu adds: “If managed judiciously, stablecoins could catalyse South Africa’s transformation into a blockchain-powered financial hub, establishing a precedent for the entire continent.”
What’s happening in Africa fits into a much bigger global story. Stablecoins’ market value went from $5 billion in 2020 to $230 billion in May.
In 2024 alone, stablecoin transactions hit $15.6 trillion, surpassing Visa and Mastercard in transaction value.
This shows that stablecoins aren’t just a passing trend but a fundamental part of global finance.
As a result, the numbers tell a clear story: in Africa, 70 per cent of stablecoin users rely on them for personal needs, while 30 per cent are exploring business applications.
This balance reveals how Africa embraces digital assets not as trading, but as real-world solutions to financial limitations.
And as a way to navigate currency volatility, high remittance costs, and limited banking access. At the same time, their growing use in trade and business could change how Africa engages with the global economy.
Global economy and tokenisation
In South Africa and Nigeria, Luno, a leading crypto platform, expanded its offerings to support stablecoin trading, enabling users to hedge against local currency volatility.
Yellow Card and Chipper Cash also support this by leveraging stablecoins for remittances and business payments, laying the foundation for Africa’s role in the tokenised global economy.
With this development, users in both countries can now participate more seamlessly in the global digital economy—purchasing goods and services from international companies like Amazon, Netflix, and Spotify or paying for software tools such as Microsoft 365, Zoom, and Google Workspace.
Beyond e-commerce and subscriptions, stablecoins also open doors to global investment opportunities. African users can access platforms like Binance, Coinbase, or eToro for tokenised stocks, digital bonds, and other blockchain-powered assets, all while bypassing the limitations of unstable local currencies.
The global economy is steadily moving toward tokenisation, where real-world assets—currencies, property, commodities, even art—are represented digitally on the blockchain.
Stablecoins are at the heart of this shift. By providing a reliable, less volatile unit of account, they make tokenised assets usable at scale.
This is why stablecoin transactions hit $15.6 trillion in 2024, surpassing two global payment platforms in settlement volumes.
Globally, stablecoin is unlocking new opportunities from digital bonds in Europe to tokenised real estate in Asia and Dubai.