FPSF-SS-001 — Overview
Layer: Overview · Audience: executives, regulators, institutional evaluators For normative requirements, see the Formal Specification.
What This Is
The Stablecoin Stack is an open architecture for processing stablecoin payments on Ethereum-compatible networks. It is built on a single proposition: that cryptographic signatures are a superior foundation for payment authorization compared to identity-based delegation models, and that the tooling to make this practical for everyday users is both achievable and urgently needed.
A working prototype exists. This specification series formalizes that prototype for production implementation, independent audit, and institutional review.
The Problem
Accepting digital payments today is deceptively expensive and slow. A merchant accepting a card payment typically waits until the following business day — or longer — to receive funds. The payment processor, the card network, and the acquiring bank each take a cut. Merchants bear the cost of disputes and chargebacks, which require administrative overhead and can be exploited fraudulently. Cross-border payments compound these problems with additional fees and delays.
Stablecoin payments can, in principle, resolve all of this: settlement is near-instant, fees are lower, and payments are cryptographically authorized by the payer and therefore irreversible by design. The practical barriers to adoption — user experience, gas costs, developer complexity — are what the Stablecoin Stack resolves.
What It Provides
A company deploying the Stablecoin Stack receives a complete payment infrastructure. The Settlement Contract verifies payment authorizations and transfers funds atomically — its behavior is determined by its published code, not by any operator. The Checkout Engine handles merchant-facing session management and reconciliation. The Broadcast Layer receives signed payment payloads from wallets, validates them, and submits transactions on-chain while absorbing gas costs. A Client Wallet presents the payment request to the payer, handles all signature construction, and requires nothing of the payer beyond a confirmation tap.
The company deploying this infrastructure brings operational capacity, merchant relationships, and commercial strategy. The Foundation provides the open specification and reference implementation.
Structural Advantages
Instant, final settlement. A payment confirms in seconds on fast networks, not the following business day. The merchant receives their funds in the same session as the payment.
Irreversibility by design. A payment authorized by the payer's cryptographic signature cannot be reversed by the processor, the acquirer, or the payer. The chargeback attack vector does not exist in this model.
Non-custodial option. In the non-custodial configuration, funds move directly from payer to merchant through the Settlement Contract. The processor is a relay, not a custodian.
Gas abstraction. The payer holds only the stablecoin they wish to spend. The Relayer covers transaction costs and recovers them through the Operator Fee.
Open acquiring model. Any third party can register as an Acquirer, distribute the payment service, and earn a share of the processing fee — automatically, on-chain, without bilateral trust arrangements.
Relationship to FPSF-CPD-001
The Stablecoin Stack adopts the Canonical Payment Definition (FPSF-CPD-001) as its foundational payment model. Every stablecoin payment is a Digital Payment in the CPD-001 sense: the payer is the CPD-001 Payer; the beneficiary is the Payee; the dual signature is the AuthorizationProof; on-chain confirmation is the SETTLED state. This alignment means any system that understands CPD-001 can reason about a Stablecoin Stack payment without additional translation.
Document Map
| Layer | Document | Purpose |
|---|---|---|
| Formal Specification | SPEC.md | Normative definitions |
| Overview | this document | What it is and why it exists |
| Core Concepts | Mental models, key mechanisms | |
| Guides | Step-by-step implementation guides | |
| Governance | Versioning, changelog | |
| Reference | Glossary, component index, error codes | |
| Business Models | Revenue models for Processors and Acquirers |
FPSF-SS-001 v1.0.0 · Draft · Fabric Payment Standards Foundation · Apache-2.0