In a significant move for the crypto and payments landscape, Stripe and venture capital firm Paradigm have jointly announced the incubation of a new blockchain venture named Tempo. This purpose-built blockchain is designed specifically for stablecoins and real-world payments, representing a major convergence of traditional financial expertise and cutting-edge crypto technology.
A Leadership Blending Fintech and Crypto Expertise
The new venture will be led by Matt Huang, Paradigm’s co-founder and managing partner. Huang brings a unique perspective to the role, having been a board member at Stripe since 2021 and possessing a deep background in venture capital from his time as a former Sequoia partner. He will continue to lead Paradigm alongside its other managing partner, Alana Palmedo, while taking the helm at Tempo.
Tempo's Core Mission and Design
Tempo is engineered to leverage Stripe's vast experience in global payments and Paradigm's profound expertise in crypto technology. According to Huang, the blockchain is not intended to replace existing infrastructure but to complement it, offering a dedicated pathway for large enterprises to transition on-chain. This focus is expected to significantly boost the adoption of crypto tools and infrastructure among major corporations.
The design of the Tempo blockchain is being informed by input from a consortium of global leaders across various sectors. This includes influential names in AI like Anthropic and OpenAI, e-commerce platforms, and financial services giants such as Revolut, Visa, and Standard Chartered.
A Layer 1 Blockchain for Stability
Critically, Tempo is being developed as a Layer 1 (L1) blockchain. This means it is a base-layer protocol, not built on top of another existing blockchain. It exists in the same category as foundational networks like Ethereum, Bitcoin, and Solana. This L1 status provides it with the independence to design its core architecture from the ground up, optimized specifically for the high-throughput, stable-value transactions required for global payments.
The Powerhouses Behind the Venture
The collaboration brings together two of the most powerful players in their respective fields. Paradigm, co-founded by Huang and Coinbase's Fred Ehrsam in 2018, is a crypto-native venture firm with a formidable $12.7 billion in assets under management. Stripe, the Ireland and US-headquartered fintech giant, processed a staggering $1.4 trillion in payment volume in 2024 and was recently valued at over $90 billion.
Contextualizing Stripe's Crypto Ambitions
Tempo is the latest and most ambitious step in Stripe's renewed and vigorous push into cryptocurrency. After pausing its crypto payments services in 2018, the company has methodically re-entered the space. This strategy has included key acquisitions, such as the purchase of crypto wallet provider Privy and, most notably, the $1.1 billion acquisition of stablecoin platform Bridge—the largest acquisition in Stripe's history. Tempo represents the culmination of these efforts, positioning Stripe not just as a user of crypto infrastructure but as a core builder of it.
The formation of Tempo marks a pivotal moment where established financial technology and the crypto economy are merging to create a new infrastructure for the future of global, digital payments. With its dedicated team and powerful backing, Tempo is poised to play a central role in bringing stablecoins and blockchain-based transactions into the mainstream for businesses worldwide.
