Stripe Resumes Crypto Support After Six Years
Global Payments giant Stripe has reinstated its support for Cryptocurrency payments after a six-year hiatus, following its initial discontinuation of Bitcoin payments in 2018. The San Francisco-based company fulfilled its commitment to reintroduce Crypto payments in April, with a new feature allowing businesses to accept USD Coin (USDC) from customers in over 150 countries.
The decision to bring back Crypto support comes as part of Stripe's efforts to cater to the growing demand for Digital Currency transactions among businesses and consumers worldwide. Jeff Weinstein, Stripe's product lead, announced the relaunch on Twitter, stating that the company is rolling out the new Payment option to hundreds of thousands of US businesses.
Expanding Crypto Payment Options
Initially, Stripe will support payments using USDC on various Blockchain networks, including Ethereum, Solana, and Polygon. The company plans to extend support to additional countries in the near future, with an aim to streamline crypto transactions for businesses and provide a seamless payment Experience for customers.
Stripe's move to reintroduce crypto payments follows a trend set by rival PayPal, which expanded its services to include support for digital assets in 2021. PayPal's "Checkout With Crypto" feature allows customers to make purchases at millions of merchants worldwide using cryptocurrencies.
Automated Conversion and Settlement
One of the key features of Stripe's crypto payment system is its ability to automatically convert stablecoin payments into fiat Currency and settle the transactions through a merchant's Stripe account. This simplifies the process for businesses, eliminating the need for manual conversions and reducing complexity in crypto transactions.
The "Pay with Crypto" feature integrates seamlessly with Stripe Checkout, Elements, or the Payment Intents API, allowing businesses to offer stablecoin payment options to their customers. Payment limits are set at $10,000 per transaction and $100,000 per month, with a 1.5% transaction fee applied by Stripe.
Historical Context and Future Integrations
Stripe's decision to reintroduce crypto services comes after the company discontinued support for Bitcoin payments in 2018 due to concerns over Market volatility, slow transaction speeds, and high fees. Stripe had initially started supporting Bitcoin payments in 2014, but later shifted its focus to stablecoins like USDC.
In addition to USDC, Stripe has also integrated with Avalanche to provide users access to niche crypto products and NFT Platforms that operate on the network. This strategic partnership expands Stripe's reach in the crypto space and offers more opportunities for businesses and developers to leverage Blockchain Technology.
Conclusion
With the resurgence of crypto support on Stripe's platform, businesses worldwide can now tap into the benefits of digital Currency transactions and cater to customers looking for alternative payment options. The introduction of stablecoin payments and automated conversion processes simplifies the integration of crypto payments for businesses, paving the way for a more seamless and efficient payment Experience.
As the demand for digital assets continues to grow, platforms like Stripe are adapting to meet the needs of a changing market landscape and provide innovative Solutions for businesses looking to embrace the future of finance.
Daily Debrief Newsletter
Start every day with the top news stories right now, plus original features, a podcast, videos and more.
