Stripe-backed Tempo taps Mastercard, UBS for public testnet debut

Source: Cryptonews Original Title: Stripe-backed Tempo taps Mastercard, UBS for public testnet debut Original Link: https://crypto.news/stripe-backed-tempo-taps-mastercard-ubs-for-public-testnet-debut/ Tempo, a payments-focused blockchain backed by Stripe and crypto investment firm Paradigm, launched its public testnet, marking a step in its effort to enable stablecoin payments for mainstream financial use.

The launch allows developers and enterprise partners to test payment flows on-chain, moving the project from concept into live network experimentation.

Expanding Partner Network

Tempo announced an expansion of its partner group alongside the testnet debut. New participants include buy-now-pay-later company Klarna, prediction markets platform Kalshi, payments company Mastercard, and Swiss bank UBS. They join an earlier group of design partners including Deutsche Bank, Visa, Shopify, OpenAI, and Nubank. The roster spans traditional banking, global card networks, commerce platforms, artificial intelligence, and digital-native consumer finance.

Addressing Payment Infrastructure Challenges

Tempo targets obstacles that have limited blockchain adoption in everyday payments, including network congestion, volatile transaction fees, and dependence on native gas tokens with unpredictable pricing. The network charges approximately one-tenth of a cent per transaction, with fees paid in U.S. dollar-denominated stablecoins.

By eliminating exposure to a volatile gas token, Tempo offers a predictable cost structure for enterprise-scale payment flows. The network also provides instant finality, a feature considered essential for real-time checkout, remittances, and time-sensitive financial transactions.

Stablecoins as Financial Infrastructure

Tempo’s launch comes as stablecoins transition from crypto trading tools into financial infrastructure. Stablecoins represent approximately $300 billion in assets and are increasingly used for cross-border payments, treasury operations, and merchant settlement.

A recent report projects that business-to-business payments, peer-to-peer transfers, and card-based transactions will be the primary growth engines for stablecoins in coming years. Demand for programmable, dollar-denominated settlement continues to rise as global payments become more digital.

Stripe’s Strategic Expansion

The testnet launch signals Stripe’s expansion in the stablecoin economy. Through its stablecoin-focused subsidiary, Stripe has been building infrastructure to support digital dollar issuance and global settlement. The strategy positions stablecoins as a foundational layer for internet-native payments.

Path Forward

Tempo’s path from testnet to large-scale production use remains uncertain. The network must demonstrate that its low-fee model and instant finality can scale reliably under sustained transaction volumes. Network stability, security, uptime guarantees, and regulatory compliance will be scrutinized as banks and global payment firms evaluate integration.

With backing from Stripe and Paradigm and a network of global partners, Tempo enters this phase with institutional support, as stablecoins expand into mainstream commerce and competition intensifies to define the dominant infrastructure for on-chain payments.