coindesk.com
Tempo, a payments-focused blockchain backed by Stripe and crypto investment firm Paradigm, has launched its public testnet, a key step in its effort in making stablecoin payments for mainstream use.
Tempo has also unveiled a roster of new additions to the network’s partner group, including buy-now-pay-later firm Klarna, predictions market Kalshi, payments giant Mastercard and Swiss global bank UBS. They join a group of earlier design partners such as Deutsche Bank, Visa, Shopify, OpenAI and Nubank.
Initially introduced in September, Tempo is designed to handle high-volume financial transactions with low fees, instant finality and native support for stablecoins. With the testnet now being live, developers and corporate partners can begin experimenting with real-world payments on-chain.
The move fits into the latest trend of building blockchains for stablecoin payments as adoption of digital dollar is soaring globally. Currently a $300 billion asset class, stablecoins are projected to become an integral part of cross-border payment rails with business-to-business (B2B), peer-to-peer (P2P) and card payments driving growth, a recent report by Keyrock and Bitso said.
Tempo aims to solve common pain points in blockchain-based finance, like network congestion and volatile transaction fees. The network charges around one-tenth of a cent per transaction, payable in U.S. dollar-denominated stablecoins and eliminating the need for a volatile gas token.
The news comes on the heels of Bridge, Stripe's stablecoin infrastructure firm, helping Klarna issue its own digital dollar next year.
Read more: Why Circle and Stripe (And Many Others) Are Launching Their Own Blockchains