Reap, a fintech company backed by Payward, is set to introduce a stablecoin pegged to the Mexican peso and is also considering stablecoins linked to the Hong Kong dollar, euro, won, and yen for cross-border foreign exchange transactions outside regular banking hours.
Plans for Expanded Currency Options
According to founder Daren Guo, Reap aims to enhance its card, cross-border payment, and treasury services through a strategic partnership with Visa, which will allow for continuous settlement of transactions. Guo indicated that this initiative will help lower costs associated with cross-border transactions.
Reap, recognized as a Visa Principal Issuer Member (VPIM) in Hong Kong and Mexico, claims to support partners across more than 100 markets while managing compliance and banking relationships.
“Visa enables stablecoins to settle, while Reap makes them usable for spending,” Guo explained. He noted that the company's recent acquisition by Payward has expanded its capabilities, potentially allowing access to yield opportunities, tokenized equities, and trading options.
Despite the continuous operation of public blockchains, the global foreign exchange market still relies on traditional banking hours and correspondent banks, which can lead to delays in settlement. Guo highlighted that transferring money between different currency corridors in emerging markets often incurs fees ranging from 5% to 7%.
Currently, stablecoin transactions are predominantly dollar-denominated, making up nearly 99% of the market, even when local currencies are used in business activities.
Reap's strategy to utilize local-currency stablecoins could empower businesses to conduct transactions and manage foreign exchange risks outside standard banking hours, rather than limiting their use of stablecoins to cryptocurrency trading and dollar transactions.
“The demand for non-USD stablecoins is driven by market needs and our focus, particularly as clients seek a more localized and cost-effective experience,” Guo stated.
With its VPIM licenses in Hong Kong and Mexico, the introduction of a peso stablecoin is a logical first step for Reap. The company is also exploring the addition of stablecoins linked to the Hong Kong dollar, euro, won, and yen for continuous on-chain foreign exchange, though no specific timeline or potential issuers have been disclosed.
Reap is working to integrate stablecoin settlements into a comprehensive product suite that includes cards, cross-border payments, treasury solutions, and compliance measures. Guo noted that Reap's card and payment volume surged by 33% year-over-year in the first half of 2026, following a tripling of revenue and volume in 2025.
While Visa's stablecoin initiatives function at the network level, Reap manages the regulated card issuance aspect, including customer verification and compliance with banking regulations, according to Guo.
Stephen Karpin, Visa's Asia-Pacific president, emphasized that the company does not see blockchain settlement as a replacement for traditional payment systems, but rather as a complementary solution. “The goal is to minimize friction where stablecoins can enhance operations while maintaining compatibility with the broader financial system,” Karpin remarked.