Stripe, a San Francisco-based fintech company, announced its latest move into cryptocurrency with a partnership with Twitter.
The new pilot program will allow a select group of creators to send and receive USDC payments via Stripe’s payment platform, Connect. Stripe Express allows creators to manage their accounts through the Stripe Express app.
Stripe’s Crypto Payment Push
In a blog post, the company stated that Twitter would be the first company in the world to incorporate the new payment method into its monetization products. Social media platforms will enable creators to make their earnings. Ticketed Spaces and Super Follows instantly settled in cryptocurrency wallets
“All crypto-related complexity and operations” will be handled by Stripe, so Twitter won’t be in charge of storing and acquiring cryptocurrencies.
The fintech firm picks the Polygon network to process all the on-chain transactions for its strengths in “low gas fees, high speed, broad wallet compatibility, and integration with Ethereum.” Creators who receive funds through the program can thus bridge their assets to Ethereum and exchange them quickly for other cryptocurrencies.
Although the company currently only accepts crypto payments in USDC, the company assures users that there will be more payout cryptocurrencies and chains added to the platform in future. The firm considers USDC’s price stability as distinguishable from other cryptocurrencies primarily subject to high volatilities.
Stripe has increased its presence in crypto, as evidenced by the blog post. According to the firm, they will support crypto payouts in over 120 countries by the end. However, compared to its main competitors like Block, PayPal, and Visa, which had collaborated with numerous crypto firms and exchanges even before the digital assets soared in popularity, Stripe is regarded as “late to the party.”
Stripe Re-enters Crypto Space
Last year, Stripe’s CEO, John Collison, already hinted that his company could reenable cryptocurrency services soon after the giant had terminated Bitcoin services back in 2018 due to concerns over price volatility and transactional inefficiencies.
Stripe has been valued at $95billion after it raised $600m in a fundraising round last year. The unicorn has processed $640 billion worth of payments as of 2021. This is a 60% increase over the previous year.