Reap plans to launch a peso-pegged stablecoin and explore others for FX transactions, enhancing cross-border payments and reducing costs.
Reap, a fintech firm supported by Payward, is planning to launch a stablecoin pegged to the Mexican peso, with future options for stablecoins tied to the Hong Kong dollar, euro, won, and yen. This move aims to facilitate foreign exchange transactions outside of regular banking hours.
Expanding Currency Options
Daren Guo, the founder of Reap, stated that the company aims to improve its card and cross-border payment services through a collaboration with Visa. This partnership is expected to enable real-time transaction settlements and reduce cross-border transaction costs.
As a Visa Principal Issuer Member (VPIM) operating in Hong Kong and Mexico, Reap services partners in over 100 markets, focusing on compliance and banking relationships.
Guo explained, “Visa enables stablecoins to settle, while Reap makes them usable for spending.” The acquisition by Payward has broadened Reap's capabilities, potentially providing access to yield opportunities and trading options.
The traditional foreign exchange market still operates within banking hours, leading to delays in settlements. Guo pointed out that transferring money across currency corridors in emerging markets often incurs fees between 5% and 7%.
Currently, about 99% of stablecoin transactions are dollar-denominated, even when local currencies are involved. Reap's approach to introducing stablecoins in local currencies could allow businesses to conduct transactions and manage foreign exchange risks outside typical banking hours.
With its VPIM licenses, launching a peso stablecoin is a strategic first step for Reap. The company is also examining the potential for stablecoins linked to other currencies for ongoing on-chain foreign exchange, though no timeline or issuer details have been provided.
Reap is focused on integrating stablecoin settlements within a broader suite of products, including cards and treasury solutions. The company's card and payment volumes increased by 33% year-over-year in the first half of 2026, following a tripling of revenue in 2025.
While Visa's initiatives for stablecoins operate at the network level, Reap is responsible for regulated card issuance, customer verification, and compliance. Stephen Karpin, Visa's Asia-Pacific president, remarked that blockchain settlement is not intended to replace traditional payment systems but to complement them. "The goal is to reduce friction where stablecoins can improve operations while fitting into the existing financial framework," Karpin stated.
