Klarna Will Launch Stablecoin on Tempo in Effort to 'Challenge Old Networks'► https://t.co/mohgSFY5OW https://t.co/mohgSFY5OW ...

Core Insights - Klarna, a Swedish fintech company, is launching its own stablecoin named KlarnaUSD on the Tempo layer-1 network, developed in collaboration with Stripe and Paradigm, set to debut next year [1] - The company views stablecoins as a means to significantly lower costs for consumers and merchants, despite its CEO's previous skepticism towards cryptocurrencies [2] - Klarna's stablecoin aims to leverage its scale and Tempo's infrastructure to enhance payment speed and reduce costs, with the potential for blockchains to surpass traditional payment networks by the end of the decade [3] Company Developments - Klarna has expanded its buy now, pay later services into new areas, including a partnership with DoorDash for interest-free installment payments [4] - The company is testing KlarnaUSD on Tempo's testnet, with plans for further crypto-related announcements in the near future [3] Market Context - The stablecoin market is substantial, with annual transactions estimated at around $27 trillion, indicating a significant opportunity for Klarna's new offering [3] - Klarna's stock price remained stable at $29.27, although it has experienced a 35% decline since its debut on the New York Stock Exchange in September [6]

🇸🇪 UPDATE: Sweden’s BNPL giant Klarna is launching KlarnaUSD, a stablecoin on Stripe’s blockchain to cut cross-border payment costs. https://t.co/YONodVpKE4 ...

$ETH bulls,how will you spin it off as bullish for Ethereum?Klarna (@Klarna):Introducing KlarnaUSD, our first @Stablecoin.We’re the first bank to launch on @tempo, the payments blockchain by @stripe and @paradigm.With stablecoin transactions already at $27T a year, we’re bringing faster, cheaper cross-border payments to our 114M customers.Crypto is ...

BNPL firm Klarna announces USD stablecoin on Stripe–Paradigm's Tempo blockchain to cut payment costs https://t.co/ISMHh4UXAW ...

Core Viewpoint - Klarna, a Swedish fintech company, is set to launch a USD stablecoin named KlarnaUSD, aiming to reshape global payments through this new financial product [1] Group 1: Company Overview - Klarna is known for its "buy now, pay later" services and is expanding its offerings by introducing a stablecoin [1] - The stablecoin will be deployed on Stripe's proprietary blockchain, indicating a partnership or technological collaboration [1] Group 2: Industry Impact - The introduction of KlarnaUSD is part of a broader trend where companies are betting on stablecoins to significantly reduce payment costs for consumers and merchants [1] - This move highlights the growing interest in stablecoins within the fintech industry as a means to enhance payment efficiency [1]

Core Insights - Klarna, a Sweden-based digital bank, is launching a U.S. dollar stablecoin named KlarnaUSD, marking its entry into blockchain technology for global transfers [1][2] - The stablecoin will be issued through Stripe's infrastructure and aims to reduce cross-border payment costs, which total approximately $120 billion annually [2][4] - Klarna's CEO emphasized the potential of crypto technology to enhance payment efficiency, citing the company's scale with 114 million customers and $112 billion in annual gross merchandise value [5] Group 1: Product Launch and Technology - KlarnaUSD will be launched on Tempo, a blockchain developed by Stripe and Paradigm for payment applications, with a full rollout planned for next year [2] - The token is currently in test mode and represents Klarna's shift towards integrating stablecoins and blockchain technology into its operations [3][4] Group 2: Market Context and Strategic Partnerships - The introduction of KlarnaUSD aligns with a broader trend among banks and fintechs to utilize stablecoins for reducing transaction costs and settlement times [3] - Klarna's partnership with Stripe builds on existing collaborations for payment processing, making it the first bank to utilize Stripe's stablecoin infrastructure [4] Group 3: Future Outlook - Klarna hinted at potential future partnerships related to crypto, indicating a strategic direction towards expanding its blockchain-related initiatives [5]

Financial Data and Key Metrics Changes - The company reported third-quarter revenue of $9.7 billion, with an adjusted operating income rate of 4% and adjusted earnings per share increasing by 11% year-over-year to $1.40 [4][24] - Comparable sales growth was 2.7%, exceeding expectations [4][24] - Domestic revenue increased by 2.1% to $8.9 billion, while international revenue rose by 6.1% to $794 million [24][25] Business Line Data and Key Metrics Changes - Strong sales performance was noted in computing, gaming, and mobile phones, with computing achieving its seventh consecutive quarter of positive comps [4][5] - Desktop computers saw nearly 30% year-over-year growth, while gaming demand remained strong for the Nintendo Switch 2 [5][6] - Online revenue increased by 3.5% on a comparable basis, representing 31.8% of domestic revenue [24][25] Market Data and Key Metrics Changes - The domestic gross profit rate decreased by 30 basis points to 23.3%, primarily due to lower product margin rates [25] - International gross profit rate increased by 30 basis points to 22.8%, attributed to favorable supply chain costs [25][26] Company Strategy and Development Direction - The company aims to strengthen its position as a leading omnichannel destination for technology while building new profit streams [9][10] - Strategic priorities include enhancing omnichannel experiences, driving incremental profitability streams through the Best Buy marketplace, and improving operational efficiencies [9][13][17] - The company is focusing on leveraging AI for customer support and product recommendations, aiming to enhance customer experience [18][60] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the upcoming holiday season, highlighting compelling deals and strong marketing efforts [18][22] - The company expects fourth-quarter comparable sales to range from down 1% to up 1%, with an adjusted operating income rate of 4.8%-4.9% [28][29] - Management noted that the high end of the fourth-quarter outlook assumes growth in computing, gaming, and mobile, with improved trends in TVs [22][28] Other Important Information - The company recorded pre-tax non-cash asset impairments of $192 million related to Best Buy Health, which were excluded from adjusted results [27] - Year-to-date, the company returned $802 million to shareholders through dividends and share repurchases [27] Q&A Session Summary Question: Insights on Q4 guidance and expectations - Management indicated that the high end of the Q4 sales guide is similar to previous expectations, with a slight adjustment to the bottom end [31] Question: Product momentum and demand outlook - Management expects continued growth in computing and mobile phones, driven by the need for upgrades and innovation [32][33] Question: Marketplace performance and EBIT impact - The marketplace has onboarded over 1,000 sellers and significantly increased SKUs, with positive early indicators for customer experience [38][39] Question: Loyalty program performance - The loyalty program has over 100 million members, with nearly 8 million paid members, focusing on personalized promotions to drive engagement [41][42] Question: Store investment and future plans - The company plans to continue investing in store aesthetics and exploring smaller format stores to enhance customer experience [44][46] Question: Impact of tariffs on pricing - The effective tariff rate is in the mid-teens, but overall ASP remains flat due to competitive pricing pressures [49][50] Question: Vendor support in labor - Vendor labor support varies by time of year and product launches, with a focus on maintaining customer service quality [52][53]

Group 1 - Klarna has launched its first stablecoin, KlarnaUSD, becoming the first regulated payments provider to do so on the Tempo blockchain, which could help reduce the $120 billion annual cross-border payment fees globally [1][3] - KlarnaUSD is a US-dollar-backed stablecoin issued through Open Issuance by Bridge, a Stripe company responsible for compliance, reserve management, and redemption [2] - The launch follows McKinsey data indicating stablecoin transactions have reached $27 trillion annually, with Klarna planning to integrate KlarnaUSD across its network that processes $112 billion in GMV for 114 million users [3] Group 2 - KlarnaUSD is designed for payments rather than trading, currently operating on Tempo's testnet with a mainnet launch planned for 2026, offering fast settlement, high throughput, and low fees [4] - The stablecoin will initially be used within Klarna's payment stack for merchant payouts, cross-border settlements, refunds, and internal funding flows, replacing slow correspondent-banking systems [5] - By issuing KlarnaUSD through Bridge, Klarna benefits from a fully backed, redeemable stablecoin without the need to manage reserves or regulatory reporting, facilitating instant settlement across markets and reducing friction in 26 supported countries [6]

🚨JUST IN: GLOBAL PAYMENT PLATFORM @KLARNA TO LAUNCH STABLECOIN ON STRIPE-BUILT BLOCKCHAIN ~ FINANCIAL TIMES ...