Stripe's Tempo Aims to Redefine Stablecoin Speed and Scale

Stripe's Tempo, a payments-focused Layer 1 blockchain, has entered private testing with major financial and technology partners, signaling a strategic push into the stablecoin and tokenization market. Launched following months of stealth development, Tempo is designed to handle high-volume stablecoin transactions with a target throughput of over 100,000 transactions per second, significantly outpacing the 5 to 1,000 TPS capacity of existing blockchains [1]. This development positions Stripe to potentially challenge Ethereum’s dominance in the stablecoin space, particularly as stablecoin usage grows across its platforms.

The blockchain is being developed in partnership with Paradigm, a leading crypto venture capital firm, and is led by Matt Huang, Paradigm’s co-founding managing partner and a Stripe board member. Huang, who will also serve as Tempo’s CEO, brings a strong venture capital background while maintaining ties to both the fintech and crypto ecosystems [1]. The blockchain is being incubated as an independent entity but is closely aligned with Stripe’s broader vision to streamline digital payments through end-to-end infrastructure.

Tempo’s architecture is tailored for real-world financial applications, featuring fiat-denominated fees, automated market maker systems for stablecoin-based gas payments, and Ethereum Virtual Machine (EVM) compatibility. These features aim to reduce friction for traditional financial institutions and facilitate broader adoption [1]. The blockchain also includes dedicated payment lanes, transaction memos, access lists, and opt-in privacy features, all optimized for financial use cases such as microtransactions and enterprise payroll [1].

Stripe’s entry into Layer 1 blockchain development represents the culmination of a years-long strategy to build a comprehensive crypto infrastructure stack. The company has previously acquired stablecoin infrastructure firm Bridge and crypto wallet developer Privy, enabling it to offer a full suite of services spanning wallets, stablecoin processing, and now blockchain-based settlement [1]. These acquisitions have positioned Stripe to serve 70 countries through stablecoin capabilities, a key advantage as the global payments landscape evolves.

Tempo’s launch aligns with broader industry trends, including the Trump administration’s pro-crypto stance and the recent U.S. Congress passage of a stablecoin-focused bill. These regulatory developments have encouraged larger companies to explore blockchain technology more actively. Despite the growing interest, adoption has been hindered by regulatory uncertainty and institutional hesitancy [2]. Tempo’s design, which avoids a native token in favor of stablecoin-based gas fees, aims to address these concerns and attract traditional financial institutions.

The project has attracted a diverse coalition of design partners, including Visa, Deutsche Bank, Standard Chartered, Anthropic, OpenAI, DoorDash, Shopify, Mercury, Nubank, and Revolut [1]. This broad support suggests that Tempo is being positioned as a versatile solution across both fintech and technology sectors. While a public launch timeline has not been disclosed, the project already has a core team of 15 employees, indicating early commitment to its development [2].

Source:

[1] Stripe's Tempo Begins Private Testing with Financial Giants (https://finance.yahoo.com/news/stripe-tempo-begins-private-testing-112647762.html)

[2] Stripe and Paradigm Announce New Payments-Focused (https://fortune.com/crypto/2025/09/04/stripe-paradigm-tempo-blockchain-stablecoins-matt-huang-payments/)