SDF Blog

Arf and Tempo Launch New Stellar-Based Payments from Europe to the Philippines

The work to create equitable access to financial services continues as ecosystem partners build more payment corridors and services on Stellar. Arf, a global stablecoin treasury, working capital financing, and cross-border settlement provider for licensed money service businesses (MSBs), has teamed up with Tempo Payments to introduce a new payment corridor via the Stellar network from Europe to the Philippines. 

Remittances have gained increasing importance in the Philippines’ economy, steadily climbing from 1.9% of the country’s GDP in 1980. As of 2020, the World Bank reported that personal remittances account for 9.66% of the Philippines’ GDP, meaning billions of dollars flow across borders with ample opportunity to improve the remittance experience for both senders and receivers.

Integral to this new Tempo/Arf corridor is Stellar USDC, the world’s fastest-growing dollar digital currency, issued by Circle. To form these new corridors, Tempo accepts fiat Euros from senders and converts them to Stellar USDC. Then Arf facilitates the movement of Stellar USDC for Tempo to a local payout partner in the Philippines for conversion to local fiat on the receiving side.

What is Arf?

Arf offers working capital financing and fiat-to-fiat settlement services to MSBs, especially e-wallets, neobanks, and remittance companies that are interested in instant and fully compliant fiat-to-fiat cross-border payments. 

In addition to providing the financial, technical, and compliance infrastructure for its clients, Arf also covers global treasury services, settlement, and FX services for fiat currencies as well as regulated & 1:1 pegged stablecoins in USD, EUR, JPY, SGD, TRY and others.

What is Tempo?

A longtime member of the Stellar ecosystem, Tempo is a prominent European-based money-service business and EU anchor for the network. Tempo acts quickly to ensure pricing, foreign exchange rates, agent opportunities, and customer service remain highly competitive in regards to local markets. 

After building its first payment corridor on Stellar and seeing the resulting success, Tempo has set out to build even more payment corridors across the globe. 

How Tempo users and Arf clients benefit from payment corridors on Stellar

By partnering with trusted financial institutions such as Tempo, Arf enables its customers to conduct compliant cross-border transactions. In combination with high transaction speeds and near-zero fees of transactions on Stellar, Arf provides Tempo with instant value transfer via Stellar USDC and secures mid-market FX rates from local MSBs and anchors in receiving countries. 

By expanding access to Stellar USDC across multiple geographies, Arf acts as an intermediary that can bridge to local payout partners in many countries, providing an easier pathway for Stellar anchors and licensed MSBs interested in freeing themselves from high working capital requirements to connect to any existing or new corridors. 

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To learn more about Arf and Tempo, please visit their respective sites.

Read more about Stellar USDC here.


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