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Crypto-Friendly Stripe Considers Public Offering: Report

Delbert Williams IIBy No Comments2 Mins Read

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Internet payment processor Stripe is reportedly considering going public, and has set a 12-month timeline to explore that possibility.

The Wall Street Journal reported on January 26 that Stripe has hired Goldman Sachs and JPMorgan Chase to advise on the feasibility and timing of its public market debut. A source familiar with the matter told the WSJ that Stripe executives would either list the company publicly or allow employees to sell their shares in a private transaction.

The WSJ also reported that Stripe management is unlikely to pursue a traditional initial public offering. The company does not need to raise additional capital. Rather, the company will likely pursue a direct listing. In such scenarios, Stripe places existing shares on a public stock exchange and lets the market determine the price.

Founded in 2009 by Irish entrepreneurs John and Patric Collison, Stripe provides payment processing solutions to several leading internet companies, including Shopify and Instacart. The company will raise his $600 million in 2021 with a valuation of him at $95 billion. Its investors included Ireland’s Treasury Authority, Fidelity Investments, insurance companies Allianz and AXA.

Stripe has had hot and cold ties with digital assets dating back to at least 2014. Stripe’s bitcoin payment service will be shut down in 2018 after three years. The company’s founders argue that BTC is better offered as an asset rather than as a medium of exchange.

Related: Listen-and-Earn Allows Podcasters and Listeners to Pay with Bitcoin

The company re-entered the cryptocurrency sector in the 2021 bull market with a renewed focus on blockchain payments. The following year, Stripe announced fiat payment support for cryptocurrencies and non-fungible tokens. Through a new application programming interface, businesses can now use Stripe to accept cryptocurrency fiat payments.

As reported by Cointelegraph, in 2021 Stripe will launch a new payments program that will allow select content creators to withdraw their earnings denominated in USD Coin (USDC).