Stellar Lumens (XLM)–Stellar Lumens, the open-source, decentralized protocol that operates the cryptocurrency XLM, has been utilized by Tempo to be the base cryptocurrency for a new global payment platform purported to be the largest in the world for crypto-fiat exchanging. More importantly, with the move to an easy, cost-effective global payment network, Stellar eyes to outcompete its sister-currency Ripple (XRP) in providing financial, crypto-backed solutions to the majority of the world’s population.
Tempo: Global Crypto-Fiat Using Stellar Network
Utilizing Stellar as its base currency, Tempo seeks to become the world’s largest crypto payment network by simplifying the exchange process from crypto to fiat. To accomplish their lofty goal, Tempo will be using the Stellar Decentralized Exchange (DEX) for liquidity purposes. Stellar DEX, a fully decentralized cryptocurrency exchange, functions on top of the Stellar Network as its base of operation.
The goal of Tempo, like most payment networks, is to offer ease and affordability to merchant and customers seeking to deal in crypto to fiat transactions,
Tempo not only allows for fiat backers to exchange their crypto for cash immediately, but by offering a debit card, Tempo provides the ability to use cryptocurrencies to purchase goods and services. Tempo offers blockchain payments both offline and online, and crypto remittances to nearly 100 destination countries.
Similar to Ripple, the existing iteration of Tempo functions as a remittance service, and is now expanding into easy crypto to fiat transactions through the use of XLM. Jeff Phaneuf, President of Tempo, expounded,
“The existing Tempo remittance network allows Tempo to offer a quick cash-out process in multiple countries. We are now expanding to offer the easiest, fastest and most secure bridge between cash and crypto.”
Jed McCaleb, a mainstay in the cryptocurrency industry, who had a hand in founding both Ripple and Stellar Lumens–now CTO of the Stellar Network–outlined how the partnership between Tempo and Stellar would create a more global reach for both the currency and crypto in general,
“Tempo’s early integration with Stellar and role as EU anchor is revolutionizing international payments, making global payments faster, more reliable and less costly for clients”
While the world of cryptocurrency is becoming filled with payment processors and remittance services, one of the primary aims of Tempo is to provide a mobile application that functions both online and off, thereby allowing users to circumvent the necessity of crypto-based ATMs or other connected exchange portals. Taken from the Stellar Organization’s website, Tempo has already built a global presence and is featured in 120 countries,
Tempo facilitates remittances from Europe to the world, a $150 billion market. Using the Stellar network, Tempo can power 600,000 transactions for .01 USD in fees. With a network of 190,000 locations in 120 countries, Tempo and their cross-border payments enable customers to pay remotely for services such as water, phone, electricity, and health insurance. Tempo’s mission is to make transfer rates more affordable and bolster transparency in the remittance arena. With Stellar, they’re one step closer.
Assuming Tempo is able to provide the service outlined in the announcement, Stellar becomes an even more legitimate player in challenging Ripple for global dominance in the sphere of crypto-based remittance and payment services.