The global stablecoin market is exploding, with transaction volume reaching $33 trillion in 2025, a 72% year-over-year surge. This growth has supercharged demand for crypto payment cards and merchant solutions, but it has also sparked a fierce legal battle over customer ownership. Binance-affiliated entities have filed a petition in Hong Kong against the founders of RedotPay, alleging the payment startup diverted more than 470,000 Binance Card customers into its own competing stablecoin card, causing $472.8 million in losses.
According to the filing, RedotPay leveraged its partnership with Binance to route roughly $304 million in user funds through Binance Pay, effectively building a direct relationship with those customers. Binance estimates a lifetime value of $925 per user. RedotPay, which now boasts over 8 million users and processes $14 billion in annualized payment volume, denies the allegations and says the dispute will not disrupt day-to-day operations. The company is reportedly considering an IPO at a valuation above $4 billion.
The case underscores the high stakes in the stablecoin card arena, where user engagement—daily spending, top-ups, and balance checks—generates conversion fees, card revenue, and merchant data. As the guide to Shopify and PrestaShop payment integrations highlighted, stablecoin adoption among merchants is accelerating, with providers like BitPay seeing stablecoins account for 40% of merchant transaction volume in 2025. The legal clash between Binance and RedotPay mirrors broader industry tensions, as companies like Coinbase, Visa, and Mastercard all jockey to control the infrastructure and user interfaces that dictate which stablecoin is used by default.
