Swedish fintech firm Klarna on Tuesday said it will launch a US dollar-backed stablecoin, becoming the latest major payments company to move deeper into digital assets as regulators tighten oversight of the sector.

The token, called KlarnaUSD, is currently in testing and will be available on the mainnet in 2026, will be fully backed by the US dollar the company said. Stablecoins are cryptocurrencies whose value is tied to traditional money, and they have surged in use in recent years as traders seek a relatively steady asset to move funds between more volatile tokens.

Klarna said it aims to position KlarnaUSD for everyday payments and cross-border transactions, pitching it as a faster and cheaper alternative to conventional banking. The buy-now-pay-later company, one of Europe's larges

See Full Page