TLDR
- Klarna announces KlarnaUSD stablecoin launching in 2026 on Stripe’s Tempo blockchain
- The dollar-backed token targets the $27 trillion annual stablecoin transaction market
- CEO Sebastian Siemiatkowski, formerly a crypto skeptic, now embraces digital payments
- Cross-border payment fees total $120 billion yearly, creating opportunity for lower-cost alternatives
- Klarna joins PayPal and Stripe in racing toward blockchain-based payment solutions
Klarna revealed Tuesday it will launch KlarnaUSD, a U.S. dollar-backed stablecoin. The token will go live on the mainnet in 2026.
The Swedish fintech company becomes the first bank to launch a stablecoin on Tempo. Stripe and Paradigm created the payments-focused blockchain.
Klarna serves 114 million customers worldwide. The company processes $112 billion in annual gross merchandise volume.
CEO Sebastian Siemiatkowski once criticized cryptocurrency publicly. He now says crypto has evolved to be fast, low-cost, secure, and scalable.
KlarnaUSD will maintain full backing by the U.S. dollar. The company designed the stablecoin for everyday payments and cross-border transactions.
Stablecoins are cryptocurrencies pegged to traditional currency values. Traders use them as steady assets when moving between volatile tokens.
$27 Trillion Market Draws Major Players
McKinsey data shows stablecoin transactions exceed $27 trillion per year. The research firm predicts stablecoins could surpass legacy payment networks within a decade.
Cross-border payments generate approximately $120 billion in annual transaction fees. Klarna aims to slash these costs for consumers and merchants.
PayPal previously launched its dollar-backed token. Stripe followed with its own stablecoin after purchasing crypto firm Bridge for $1.1 billion this year.
Bridge provides the Open Issuance infrastructure powering KlarnaUSD. The stablecoin platform is now part of Stripe.
Klarna and Stripe already collaborate on payment infrastructure across 26 markets. This partnership extends their existing relationship.
Testing Phase Underway
KlarnaUSD currently operates on Tempo’s testnet. Public access remains unavailable during this phase.
The testing period gives Klarna early infrastructure access. The company can prototype, test, and integrate the system before launch.
U.S. and European regulators are developing new digital asset rules. Klarna expects benefits from frameworks including the GENIUS Act and MiCA regulations.
The United States represents Klarna’s largest user base. The company ranks among Europe’s biggest fintech firms.
Klarna went public in September with a stock market listing. Last week the company beat revenue expectations in its first quarterly earnings report.
Klarna calls this the start of its public crypto initiatives. The company plans to announce another partner within weeks.
Get 3 Free Stock Ebooks
Discover top-performing stocks in AI, Crypto, and Technology with expert analysis.
- Top 10 AI Stocks - Leading AI companies
- Top 10 Crypto Stocks - Blockchain leaders
- Top 10 Tech Stocks - Tech giants
