The company launched its API in March 2023, during a period of uncertainty for the digital asset sector. “Our first year was tough. The digital asset space was in turmoil. We struggled to find partners and customers,” he says. “After we launched, we immediately received interest from cross-border payment companies.”
Market evolution
Since its founding, Bridge has evolved from providing cross-border payment solutions to supporting government aid disbursements across Latin America. The company has also created virtual accounts, allowing fintech companies like Dolar App and Chipper Cash to offer US dollar holding and spending capabilities globally.
“Right now, we’re moving billions of dollars in payments,” Zack said. “Their products provide more economical choices for millions of consumers and businesses.”
In-facility adoption
The deal comes as major financial institutions increase their involvement in digital currencies. Visa and SWIFT have launched native support for stablecoins, and regulators around the world are developing frameworks to oversee stablecoin infrastructure.
The acquisition marks a significant entry for Stripe into the crypto sector, which was valued at US$65 billion earlier this year. Founded in 2010 by billionaire brothers John and Patrick Collison, Stripe has grown to become one of the most highly valued privately-held startup companies in the United States.
“Stablecoins are an entirely new payments platform, and it will be a long journey spanning decades to understand the potential of this platform,” Bridge said in an announcement about X. Freely accessible to anyone in any country. You can send it almost free of charge. ”
The company has expanded its customer base to include government agencies, financial technology companies, and global financial management company SpaceX. “Each new use case was larger than all the previous use cases,” Abrams says.
Innovation across borders
Malka Wosova, chief operating officer of digital economy payments company ZBD, said: “This acquisition will further increase the value of cryptocurrencies for traditional fintech companies to transform the industry and leapfrog outdated payment technology and infrastructure. It shows that we are aware of it.”
The move follows PayPal’s launch of the USD stablecoin in 2023, becoming the first major fintech to integrate digital currencies for payments and remittances. This also comes after retail investment platform Robinhood acquired crypto exchange Bitstamp in June 2024 for US$200 million.
market timing
The transaction comes at a time when valuations in the crypto sector remain below 2021 peak levels. This market environment creates opportunities for strategic acquisitions by established fintech companies.
“As we got to know the Stripe team, it became clear that we shared a vision of what is possible with stablecoins and an excitement for the opportunity to create and build this future. ,” says Zach. “Stripe operates globally and understands the challenges posed by existing localized payment systems better than anyone.”
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