Tempo Aims to Redefine Global Payments with Stablecoin-Focused Blockchain Innovation

Stripe and Paradigm have announced the launch of Tempo, a new Layer 1 blockchain designed to facilitate fast and efficient stablecoin transactions. Built with a focus on global payments, the blockchain project is a collaboration between the $91.5 billion fintech firm Stripe and the crypto venture firm Paradigm. Tempo aims to address the limitations of existing blockchains by offering high throughput, low latency, and support for payments in any stablecoin [1].

Tempo is positioned as a solution to the growing demand for faster and more cost-effective cross-border payments. The blockchain processes over 100,000 transactions per second with sub-second finality, enabling it to handle the high-volume transaction needs typical of large-scale payment systems [2]. Unlike many other blockchains that rely on native tokens for gas fees, Tempo will accept stablecoins as payment for transaction fees. This approach is intended to streamline the process for users and reduce the reliance on volatile crypto assets [1].

The project is currently in a private testnet phase, with select partners testing cross-border payouts, B2B payments, and remittances. These partners include traditional financial institutions, neobanks, e-commerce platforms, and artificial intelligence companies such as Visa, Deutsche Bank, Shopify, Nubank, OpenAI, and Revolut [2]. According to Visa’s Chief Product and Strategy Officer Jack Forestell, the future of stablecoins is multi-chain, with interoperability being a key enabler for broader adoption [2].

Tempo is designed with EVM (Ethereum Virtual Machine) compatibility, allowing developers to leverage existing tools and infrastructure while benefiting from Tempo’s payment-specific optimizations. The blockchain is built on Reth, an Ethereum execution client, and features a built-in automated market maker (AMM) to facilitate seamless conversion between different stablecoins [2]. The project also includes opt-in privacy features and compliance mechanisms to align with anti-money laundering (AML) and know-your-customer (KYC) regulations [2].

The blockchain’s launch follows a surge of interest in stablecoin-based payment solutions, driven by favorable regulatory developments and increased adoption across both traditional and crypto-native industries. Stripe, which processed $1.4 trillion in payments in 2024, has been a leader in integrating stablecoins into its infrastructure. The company introduced Stablecoin Financial Accounts in May 2025, a feature initially limited to certain regions [3]. With Tempo, Stripe is aiming to provide a more universally accessible platform for stablecoin payments, particularly for users in geoblocked areas [3].

The project’s long-term vision includes transitioning from a permissioned model—where design partners operate validator nodes—to a fully permissionless model. This evolution is expected to enhance decentralization and neutrality, aligning with the broader goals of the crypto community. Paradigm’s Matt Huang emphasized the importance of stablecoin neutrality, stating that anyone can issue a stablecoin and use it for payments or gas within the Tempo ecosystem [3].

As the stablecoin market, now valued at $270 billion, continues to grow, Tempo’s entry into the space positions it as a competitor to other stablecoin-focused blockchains such as Circle’s Arc and Tether’s Plasma. The project is designed to be complementary rather than competitive with existing general-purpose blockchains, aiming to enhance the existing blockchain ecosystem rather than replace it [2].

Source:

[1] Stripe and Paradigm announce new payments-focused ... (https://fortune.com/crypto/2025/09/04/stripe-paradigm-tempo-blockchain-stablecoins-matt-huang-payments/)

[2] Stripe and Paradigm reveal Tempo layer-1 blockchain for ... (https://cryptoslate.com/stripe-and-paradigm-reveal-tempo-layer-1-blockchain-for-stablecoin-payments-infrastructure/)

[3] Stripe and Paradigm Unveil Permissionless Layer 1 ... (https://thedefiant.io/news/tradfi-and-fintech/stripe-and-paradigm-unveil-permissionless-layer-1-blockchain-tempo)