Author: Ben Weiss, Fortune Magazine
Compiled by: Luffy, Foresight News
Self-built blockchains have become a new trend in the fintech field. The American cryptocurrency exchange Coinbase already has its own blockchain; online brokerage Robinhood announced plans to launch its own blockchain in June, with its competitor eToro also considering following suit. Now, fintech giants Stripe and stablecoin issuer Circle have also joined this ranks.
According to a now-deleted job posting and sources familiar with the matter, Stripe is developing a blockchain called Tempo, focused on payment functions. Meanwhile, Circle stated on Tuesday morning that it is building Arc, a blockchain designed specifically for stablecoins.
Corporate blockchains have suddenly surged like mushrooms after rain, raising the question: why do seemingly all large financial companies (especially Stripe and Circle) want to transform into blockchain developers?
Control the complete technology stack
Two executives in the stablecoin field and an investor said that Stripe's motivation is simple: vertical integration.
By acquiring the stablecoin startup Bridge for $1.1 billion, Stripe is bringing its own stablecoin and payment network into its fold. After acquiring the cryptocurrency wallet company Privy in June, it can also offer users accounts to store stablecoins. For Stripe, known for traditional payment services such as online checkout, the addition of blockchain business means building a mature stablecoin ecosystem.
Rob Hadick, a general partner at cryptocurrency venture capital firm Dragonfly, frequently invests in stablecoin startups, and he told (Fortune) magazine: "These large companies are motivated to control the complete technology stack."
Stripe is confident that stablecoins are the future of the payment field. If a significant portion of its $1.4 trillion transaction volume is completed through stablecoins, it could miss out on millions of dollars in revenue.
Blockchain is akin to Google Cloud or Amazon Web Services in the cryptocurrency tech stack. A group of decentralized servers handles numerous transactions on cryptocurrency applications, and server owners receive fees for providing computing power.
For example, according to data from DefiLlama, Coinbase's own blockchain Base has generated over $130 million in fees since its launch in early 2023.
Luca Prosperi, co-founder and CEO of stablecoin infrastructure company M0, told (Fortune) magazine: "Everyone wants to control the economy."
However, whether the surge in stablecoins and their related blockchains will make it difficult for ordinary consumers to cope with the ever-emerging tokens and blockchains remains to be seen.
Stripe did not respond to requests for comment.
Defense and Offense
Circle CEO Jeremy Allaire
Circle's motivation is similar.
This stablecoin issuer, which went public in June, has its own token USDC and has built an expanding payment network, even offering services for corporate clients to create their own cryptocurrency wallets. However, this cryptocurrency company does not yet have its own blockchain and cannot collect fees from the payment transaction volume of its services.
"They also want to control the flow of funds," said Bam Azizi, co-founder and CEO of cryptocurrency payment startup Mesh, referring to Circle.
However, Stripe and Circle are not in the same position. Stripe is one of the largest private companies in the tech sector, and as a leading payment processor, its revenue sources are diverse. Just in January of this year, its Stripe Billing business generated an annual revenue of $500 million.
In contrast, Circle's revenue in the second quarter of 2025 came from interest generated by U.S. Treasury bonds backing its stablecoin, accounting for over 96% of its income. If interest rates decline, its entire business model could be threatened.
Circle CEO Jeremy Allaire mentioned during an interview with The Information about the company's second-quarter performance: "We are building a complete system, from the infrastructure layer to the stablecoin layer, and then to the payment network layer." A Circle spokesperson declined to comment further.
Nevertheless, some believe this newly listed company is catching up to its competitors.
"Circle adopts a defensive and passive response strategy," said Hadick, a general partner at Dragonfly, "while Stripe focuses on the future of payments and its own business, taking an offensive and proactive approach."
