Hong Kong-based fintech Reap, owned by Payward (Kraken's parent company), is preparing to add a Mexican peso stablecoin to its card, cross-border payment and treasury products through its global partnership with Visa. According to founder Daren Guo, the company is also exploring stablecoins pegged to the Hong Kong dollar, euro, won and yen to support round-the-clock foreign exchange and lower cross-border costs. As reported by CoinDesk, Reap holds VPIM licenses in Hong Kong and Mexico, making the peso token a practical first addition for its regulated card-issuing business. The company's recent acquisition by Payward opens up additional capabilities, including possible access to yield, tokenized equities and trading.
According to Guo, emerging and cross-border markets can incur fees of 5% to 7% when moving money between currency corridors, highlighting the need for alternative solutions. The company's card and payments volume rose 33% year over year in the first half of 2026, following revenue and volume that tripled in 2025. Stablecoin payments are overwhelmingly dollar-denominated, with nearly 99% of transactions, even when underlying commercial activity occurs in local currencies worldwide. 'Demand for non-USD stablecoins is driven by market demand and Reap's priorities, especially as clients aim to get a more localized and cost-efficient experience,' Guo stated, suggesting a potential use case for local-currency tokens that enable companies to move money and manage foreign-exchange exposure outside banking hours.
Reap's founder explained that 'Visa makes stablecoins settle. Reap makes them spendable', with the company integrating stablecoin settlement into a broader product suite that includes cards, cross-border payouts, treasury tools and compliance and fraud controls. According to Guo, the company can issue cards on its own bank identification numbers (BINs) and supports partners in more than 100 markets. Visa's stablecoin work operates at the network level, while Reap handles regulated card-issuing business, including customer checks, bank relationships and cardholder compliance. The company is considering Hong Kong dollar, euro, won and yen stablecoins for onchain 24/7 foreign exchange, though no rollout timetable has been provided.
As reported by CoinDesk, Stephen Karpin, Visa's Asia-Pacific president, emphasized that the company does not view blockchain settlement as a replacement for conventional payment systems. 'We do not view this as a binary choice between blockchain networks and traditional banking infrastructure. We see them as being complementary,' Karpin stated. The initiative highlights a growing shift toward complementary hybrid models that combine public blockchain settlement speed with traditional card network distribution, enabling companies to move money and manage foreign-exchange exposure outside banking hours while maintaining the security and compliance of regulated financial systems.
