Payment processing giant Stripe has reintroduced cryptocurrency payments for U.S. businesses after a six-year hiatus from Bitcoin and complete suspension of crypto payment services. Merchants can now receive and make payments using the stablecoin USDC via Ethereum, Solana, and Polygon networks.
Stripe's Crypto Journey: A Timeline
Stripe first ventured into Bitcoin ecosystems in 2014 but discontinued support in January 2018. This decision followed Bitcoin's dramatic price crash from $19,650 in December 2017 to $3,401 by year-end 2018.
Former product manager Tom Karlo cited Bitcoin's extreme volatility (frequently causing transaction errors) and criticized its lengthy processing times and rising fees, characterizing it more as an asset than an exchange medium.
The company maintained indirect crypto involvement through its 2022 partnership with FTX and launched a USDC transfer service for select Twitter (now X) creators in April 2022.
Current Offering: USDC and USDP Support
Stripe's new Pay with Crypto feature enables:
- Stablecoin transactions settled as fiat currency in Stripe balances
- USDC acceptance on Ethereum, Solana, and Polygon without merchants handling crypto conversions
- 1.5% transaction fees
Implementation Details:
Available to all U.S.-based businesses via:
- Payment Element
- Checkout functionality
- Payment Intents API
Current supported assets:
- USDC (Ethereum/Solana/Polygon)
- USDP (Ethereum/Solana)
- Limits: $10,000 per transaction, $100,000 monthly
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Strategic Partnership: Coinbase Integration
Stripe's June 2024 collaboration with Coinbase brings:
- Base network (Coinbase's Layer 2) integration into Stripe's crypto payment products
Fiat-to-crypto conversion via:
- Credit cards
- Apple Pay
- Global USDC transfers to 150+ countries through Base network
FAQ Section
Q: Which cryptocurrencies does Stripe currently support?
A: Only USDC and USDP across specified blockchain networks.
Q: Are there geographic restrictions for this service?
A: Currently available exclusively to U.S.-registered businesses.
Q: How does Stripe handle crypto volatility risk?
A: All transactions are immediately converted to fiat currency at settlement.
Q: What makes USDC different from other stablecoins?
A: USDC maintains full reserve backing and undergoes monthly attestations by top accounting firms.
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Risk Disclosure
Cryptocurrency investments carry substantial risk, with potential for significant price fluctuations that may result in total capital loss. Carefully evaluate your risk tolerance before participating.