# Buy Now Pay Later Giant Klarna Prepping Stablecoin on Stripe's Tempo Chain

*Author: Bankless*
*Published: Nov 25, 2025*
*Source: https://www.bankless.com/read/news/buy-now-pay-later-giant-klarna-prepping-stablecoin-on-stripes-tempo-chain*

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Klarna launched a USD-backed stablecoin called KlarnaUSD in a move to cut cross-border payment costs and bring onchain settlement into its global payments stack. The token was issued on the Strip & Paradigm's Tempo testnet.

### **What’s the Scoop?**
- **Cost reduction:** Klarna positioned the stablcoin as a tool to lower international transaction expenses, citing roughly $120 billion in global cross-border fees each year.
- **Launch timeline:** KlarnaUSD went live on Tempo’s testnet and was scheduled for a full mainnet rollout in 2026. The stablecoin was issued through Open Issuance, an infrastructure product built by Bridge, a Stripe subsidiary.
- **Rising Influence:** Tempo continues to amass partners after raising $500 million at a $5 billion valuation last month and garnering headlines after [poaching](https://www.bankless.com/on-the-loss-of-dankrad) top research talent from Ethereum.
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