Western Union is stepping up its digital game with a stable card designed for high-inflation markets, part of a broader strategy around stablecoins and digital assets. CFO Matthew Cagwin revealed the plan at the UBS Global Technology and AI conference, highlighting the company’s shift beyond traditional cross-border payments.
Tackling Real-World Problems
High inflation can drastically reduce the value of remittances. Cagwin pointed to Argentina, where annual inflation recently hit 250%–300%. In practice, a family receiving $500 in remittances from the U.S. could see its value drop to $300 within a month.
Western Union’s stable card aims to protect users from currency devaluation, offering a reliable store of value in volatile economies.
The card builds on Western Union’s existing prepaid U.S. card, adapted for markets where currency swings can wipe out savings almost overnight.
Enter the Western Union Coin
Cagwin also revealed plans for Western Union’s own digital coin, leveraging the company’s extensive network in 200 countries. The goal is to control economics, compliance, and distribution while targeting emerging markets where remittances make up a significant share of GDP. This could give Western Union an edge that newer crypto projects often lack.
Digital Asset Network and Blockchain Plans
A key component of the strategy is the Digital Asset Network, linking Western Union to four on-ramp and off-ramp providers. Launching in H1 2025, the platform will let users seamlessly move between traditional currencies and digital assets.
The upcoming stablecoin settlement system will be built on the Solana blockchain, with the US Dollar Payment Token (USDPT) at its core. The token, developed in partnership with Anchorage Digital Bank, is expected to launch in H1 2026 with distribution through partner exchanges.
Western Union is also moving forward with a trademark for WUUSD, signaling a future suite of services: wallets, trading features, and stablecoin payment processing.
What This Means
Western Union’s moves place it among the growing number of traditional financial institutions leveraging stablecoins to reduce settlement times and cut costs for cross-border payments.
For users in high-inflation regions, this could mean more stable remittances, faster access to funds, and new digital asset opportunities, all backed by a trusted global player.
