Stripe CEO Highlights Business Interest in Stablecoins

Stablecoins offer businesses faster, cheaper, and more reliable payments, says Stripe CEO.

“Stablecoins” are gaining traction as they offer businesses faster, cheaper, and more reliable payments compared to traditional systems, according to Stripe CEO Patrick Collison.

He shared his insights in a Hacker News forum thread dedicated to the launch of the Tempo Layer 1 blockchain. Developed by Stripe in collaboration with Paradigm, the platform is specifically designed for “stablecoins and real-world payments.”

Initial partners in the project include Anthropic, Coupang, Deutsche Bank, DoorDash, Lead Bank, Mercury, Nubank, OpenAI, Revolut, Shopify, Standard Chartered, Visa, and several other companies.

According to Collison, for a decade, the utility of crypto payments was a source of frustration at Stripe. This perspective shifted in recent years as more companies began to see the benefits of using stablecoins in their financial operations.

“For instance, Bridge (an infrastructure platform for stablecoins, acquired by Stripe) is used by SpaceX to manage finances in hard-to-reach markets. Another major client, DolarApp, provides banking services to customers in Latin America. We are now adding stablecoin functionality to the Stripe dashboard, with the first user being an Argentinian bicycle importer facing transaction difficulties with suppliers,” noted Collison.

He emphasized that these companies use cryptocurrency not for speculative gain but for real financial activities. The Stripe CEO identified five main reasons businesses prefer stablecoins:

• near-instant settlements;
• lower costs compared to traditional payment channels;
• high reliability of cross-border transfers;
• reduction in currency conversions;
• direct on-chain access to US dollars.

Regarding Tempo’s role, Collison compared the blockchain to banking message exchange systems like SWIFT or ACH. The platform is not intended for end-user interaction.

According to the statement, the EVM-compatible network can process over 100,000 transactions per second. It is aimed at supporting payroll, remittances, tokenized deposit processing, microtransactions, and agency payments.

Back in June, Stripe acquired Web3 wallet infrastructure developer Privy.