Stablecoins have significant potential to replace dollar cash transactions in Africa’s local financial ecosystems but face challenges for full adoption. Pegged to stable assets like the USD, stablecoins offer low-cost, fast cross-border payments and hedge against local currency volatility, appealing in regions with high inflation and limited banking access. Platforms like Yellow Card and M-Pesa integrate stablecoins, enhancing financial inclusion. However, regulatory uncertainty, infrastructure gaps like unreliable internet, and limited USD liquidity for off-ramping hinder widespread use. Trust in stablecoin reserves and risks of peg loss also pose concerns. While stablecoins settled $2.6 trillion in 2024, cash remains dominant, with over 90% of transactions in Africa. Stablecoins can complement but not fully replace dollar cash due to these barriers and cash’s entrenched role.