Stripe, a leading force in digital payments, has made a bold return to crypto by enabling USD Coin (USDC) transactions, drawing immediate and widespread adoption from users in 70 countries on its first day. This marks a pivotal shift in global payments, highlighting surging interest in stablecoin as a practical payment option.
Stripe’s relationship with cryptocurrency began in 2014, when it became the first major payment processor to support Bitcoin (BTC). However, in 2018, Stripe halted BTC payments due to slow transaction speeds and high fees, a decision that slowed its crypto journey until recently. In 2021, Stripe rekindled its commitment to digital currency, establishing a dedicated blockchain team tasked with transforming crypto into a viable payment solution.
Launched on October 9, the new USDC payment option underscores Stripe’s vision for crypto as a medium of exchange. Stripe co-founder and president John Collison voiced optimism earlier this year, stating, “Crypto is finally making sense as a means of exchange.” This sentiment is shared by Stripe’s product lead, Jeff Weinstein, who acknowledged the enthusiastic global uptake of USDC on the first day alone.
To boost its crypto offerings, Stripe formed a strategic partnership with Coinbase in June. This alliance enabled seamless fiat-to-crypto on-ramps and off-ramps on both platforms, with Coinbase incorporating Stripe’s fiat-to-crypto on-ramp directly into Coinbase Wallet. As part of its crypto expansion, Stripe now supports USDC on Ethereum, Solana, and Polygon, and Pax Dollar (USDP) on Ethereum and Solana, with all stablecoin payments converted to USD and securely stored in Stripe wallets. The company applies a 1.5% transaction fee for these conversions.
Stripe’s embrace of stablecoin payments marks a new chapter in digital finance, meeting a growing demand for accessible, secure, and efficient payment alternatives that cross borders effortlessly. With the resounding success of USDC’s debut, Stripe is positioned to drive broader cryptocurrency adoption and reshape the future of global payments.