Stablecoins Will Outdo Cryptocurrency In Blockchain Payments in Africa and Asia. This is Why.

• Practicality Over Speculation: While cryptocurrencies like Bitcoin are often seen as speculative investments, stablecoins are emerging as practical tools for everyday payments, remittances, and savings, especially in regions with volatile local currencies.

_

• Massive Growth in Africa: Sub-Saharan Africa’s digital asset market saw a 52% year-over-year growth, with stablecoins driving the surge. Nigeria alone recorded $92.1 billion in digital asset inflows, much of it in stablecoins for trade.
• Lower Costs & Higher Speed: Stablecoins are drastically cutting remittance costs from over 8% to less than 2% and reducing transfer times from days to minutes, disrupting the traditional banking and money transfer industries.
• Regulatory Clarity is Clearing the Path: Countries like Nigeria and Singapore are creating legal frameworks that make stablecoin usage for trade and remittances safer and more transparent, encouraging mainstream adoption.

In the bustling markets of Lagos and the fast-paced tech hubs of Singapore, a quiet revolution is reshaping how money moves across borders. Forget the wild price swings of Bitcoin for a moment. The real story in blockchain payments across Africa and Asia is about something far more stable: digital dollars. Stablecoins, digital currencies pegged to assets like the U.S. dollar, are rapidly becoming the default for everything from paying suppliers in another country to sending money home to family.

This isn’t just a niche trend. It’s a fundamental shift driven by real-world needs. As Kim Grauer, Director of Research at Chainalysis, put it in May 2025, “Stablecoins are proving to be the practical backbone for cross-border value transfer in regions excluded from the global banking system, particularly across Africa and Asia, as local currencies see rising volatility and inflation.”

Stablecoins Surge as Africa’s Payment Lifeline

Nowhere is this shift more apparent than in Africa. The continent is experiencing an explosion in digital asset adoption, but it’s stablecoins that are doing the heavy lifting. The Chainalysis 2025 Crypto Adoption Report reveals a staggering 52% year-over-year growth in digital asset volume in Sub-Saharan Africa, with stablecoin transactions being the primary driver of this growth, especially for institutional and cross-border payments. A huge part of this story is Nigeria, which saw $92.1 billion in digital asset inflows over a 12-month period. The bulk of this wasn’t for speculation, but for trade flows between Africa, the Middle East, and Asia.

Asia’s Dual-Track Crypto Scene Why Stablecoins Lead Everyday Payments

Asia presents a more complex picture, but the outcome is the same: stablecoins are winning for practical, everyday payments. While speculative trading of cryptocurrencies remains popular, the high costs and slow speeds of traditional banking have created a massive opening for stablecoins. “East Asia & Pacific sees the highest average potential as a receive market for stablecoin-based payments, mainly due to high costs and slow speeds of conventional alternatives,” notes Daniel Webber, CEO of FXC Intelligence, in their 2025 cross-border payments primer. Countries like Singapore are not just allowing this to happen; they are actively rolling out robust regulations. This is making stablecoin remittances not only faster but also safer and more transparent than unregulated cryptocurrency transfers.

Local Currencies Fall Demand For Digital Dollars Rises

A key driver behind this continental shift is simple economics. As local currencies in countries like Nigeria and Kenya face persistent inflation, young, tech-savvy populations are turning to digital dollars to protect their savings and transact internationally. “Inflation in Nigeria and Kenya pushes young and tech-savvy populations toward stablecoins as a hedge and for cross-border payment,” says Adedeji Owonibi, a blockchain forensics consultant quoted in the Chainalysis 2025 report. For many, USD-backed stablecoins are becoming a practical replacement for unofficial dollarization, used for everything from savings to international trade.

This has massive implications for the growing freelance economy. For creators and developers in Africa and Asia working with international clients on platforms like Fiverr, stablecoins are becoming a crucial payment rail. They offer a way to get paid in a stable currency and avoid the high fees and long waits associated with traditional international bank transfers.

Cost and Speed Beat Legacy Banking

The numbers speak for themselves. Traditional remittances are notoriously expensive and slow. “Stablecoins reduce remittance costs from an average of 8% in sub-Saharan Africa to less than 2%, and move funds in minutes versus several days for banks or MTOs,” remarked Leah Zhang, a payments analyst at the IMF, in her September 2025 feature. This isn’t just a small improvement; it’s a complete disruption of a multi-billion dollar industry. The Financial Stability Board’s progress report confirms this, showing that remittance costs have fallen dramatically in corridors that have adopted stablecoins, with Sub-Saharan Africa and the Asia-Pacific region benefiting the most.

New Laws Clear the Path for Stablecoin Adoption

For a long time, the lack of clear rules held back widespread adoption. That’s changing fast. “The 2025 Investment and Securities Act in Nigeria finally brought clarity, permitting regulated stablecoin usage for remittance and trade,” says Emeka Okoye, a Nigerian fintech legal analyst. This landmark act has given the Nigerian SEC clear authority to oversee digital assets, recognizing them as securities and creating a legal pathway for their use. Nigeria, along with Singapore and Brazil, are now seen as examples where legal frameworks are enabling banks and fintechs to integrate stablecoin rails safely, a move that is crucial for building trust and encouraging mainstream use.

Recommended Tech

As we move into a world where digital assets are becoming a core part of our financial lives, protecting them is more important than ever. The TechBull recommends using a comprehensive digital security service. Solutions like Aura can help protect your identity and digital assets from theft as you navigate this new financial infrastructure, giving you peace of mind in an increasingly connected world.

Crypto’s Speculation Problem vs Stablecoin’s Payment Promise

Perception matters. For many ordinary people, the word ‘crypto’ is still tied to risky speculation. Stablecoins, however, are building a different reputation. “We still see mainstream Africans equate ‘crypto’ with risky speculation, but see stablecoin as a dollar-exposure tool for payroll, remittance, and business payments,” says Muthu Annamalai, CEO of South Africa’s Absa Bank stablecoin division. This distinction is critical. While volatile cryptocurrencies attract traders, stablecoins are attracting businesses and individuals who just need to get paid. As a result, the use of stablecoins for everyday commerce is steadily rising, especially in countries battling high inflation.

Remittance Trade and New Digital Payment Infrastructure

The global remittance industry is ground zero for this disruption. “The global remittance industry is ground zero for stablecoin disruption, especially in Africa and Asia where bank rails remain stubbornly slow and expensive,” says Daniel Webber of FXC Intelligence. In 2023, Africa received $54 billion in remittances, with people paying average transfer fees above 8%. Today, companies are using stablecoins not just for family remittances, but also for B2B settlements from Africa to the Middle East, Asia-Pacific, and Latin America, creating a truly global, low-cost payment network.

Remaining Barriers and The Road Ahead

Of course, the path forward isn’t entirely clear. Challenges remain. “The next phase hinges on building trust, liquidity, and merchant acceptance, plus education to differentiate stablecoins from volatile cryptos,” notes Leah Zhang from the IMF. Many regions still face patchy regulations, a lack of easy ways to convert stablecoins to and from local currency (on/off-ramps), and resistance from merchants. However, these gaps are closing fast as regulators race to catch up with the innovation.

The trend is clear. Africa and Asia aren’t just adopting stablecoins; they are leapfrogging traditional financial systems. As Kim Grauer of Chainalysis asserts, “Africa and Asia are not just adopting stablecoins—they’re reimagining financial infrastructure from the ground up.” With rapid regulatory progress, huge cost savings, and a clear consumer shift away from speculation and toward utility, stablecoins are set to dominate the future of blockchain payments.