Swedish fintech company Klarna partners with Coinbase to incorporate stablecoins into its institutional funding toolbox. Klarna plans to raise short-term funding denominated in USDC, expanding funding sources. The initiative is separate from consumer-facing crypto plans and subject to regulatory risks. Klarna selected Coinbase for its experience in providing crypto infrastructure.

Klarna recently launched KlarnaUSD, a US dollar-pegged stablecoin on Tempo’s testnet. The stablecoin is the first issued by a digital bank on Tempo, developed by Stripe and Paradigm. The GENIUS Act in the US has paved the way for new stablecoin issuances. Mainnet launch for KlarnaUSD is scheduled for 2026, extending Klarna’s partnership with Stripe.

Read more at Cointelegraph: Klarna Partners With Coinbase to Raise USDC Funding From Institutions