Stripe and Paradigm have officially launched Tempo, a groundbreaking blockchain tailored for stablecoin payments that is currently undergoing private testing. Tempo is designed to support high-volume financial transactions, aiming for processing capabilities of tens of thousands of transactions every second with minimal delays. The design is backed by industry giants like Visa, Deutsche Bank, Nubank, OpenAI, and Revolut, marking a significant stride in the evolving landscape of stablecoin-focused blockchain technologies.
Key Highlights:
- Stripe’s collaboration with Paradigm aims to address the needs of real-world financial applications, as articulated by CEO Patrick Collison in an X post.
- Tempo aims to facilitate easier transaction management involving global payouts, remittances, microtransactions, and tokenized deposits.
- The project is set to challenge other stablecoin initiatives in the market, revealing a $270 billion potential driven by the comprehensive demand for reliable and swift cross-border payment solutions.
Collison emphasized the necessity of Tempo, stating that existing blockchain technologies, even those reputed for speed like Solana, do not fulfill Stripe’s operational demands effectively. Tempo is configured to target 100,000 transactions per second and supports fee payments using stablecoins. It is built as an independent entity, with both Stripe and Paradigm acting as initial financiers.
Huang also indicated a commitment to decentralization in Tempo’s structure, assuring the launch of a diverse validator network that will evolve into a fully permissionless model over time.
Read more: Why Circle and Stripe (And Many Others) Are Launching Their Own Blockchains
