Payment giant Stripe has announced the launch of a new fiat-to-crypto onramp to streamline the process for Web3 companies to enable US-based customers to purchase cryptocurrency. The new offering will also be available to all Web3 users in addition to those who have already joined the waitlist over the past few months.
The new Stripe feature will include verification features
Stripe’s new onramp, whether embedded on a company’s site or hosted by Stripe, aims to optimize conversion and authorization rates. By doing so, it makes it more likely that legitimate purchases will go through. Built-in fraud tools and identity verification are also included in the offering to support companies in meeting KYC and compliance checks that are necessary to prevent manipulation and fraud.
Web3 products, which are decentralized applications built on blockchain technology, have become increasingly popular, making it essential for payment providers to offer cryptocurrency payment services. The new Stripe offering will enable Web3 companies to provide services to a larger group of users who are yet to discover the crypto space, as well as those who are actively involved in the space.
James Mudgett, the Vice President of Web3 products at Brave, commented on the latest development, stating that the company is thrilled to partner with Stripe to increase its services and offerings in the crypto space. Brave is a privacy-focused web browser that uses blockchain technology to improve online privacy and security.
The company wants to provide unrivaled services to old and new users
Stripe’s new feature follows the release of a fiat-to-crypto widget in December 2021 that can be embedded in any crypto product. This widget allows users to enter their card information and acquire cryptocurrency that can be used in another Web3 product.
Earlier this year, Stripe announced agreements to raise more than $6.5 billion at a valuation of $50 billion with existing shareholders, including Andreessen Horowitz, Baillie Gifford, Founders Fund, General Catalyst, MSD Partners, and Thrive Capital, as well as new investors GIC, Goldman Sachs Asset and Wealth Management, and Temasek. Stripe has stated that the proceeds will be used to provide employee liquidity and that the company does not need the capital to run its business.
The launch of Stripe’s new onramp is an important step towards the wider adoption of cryptocurrency payments. As more payment providers offer cryptocurrency payment services, it will become easier for users to purchase and use cryptocurrency in their daily lives. This could lead to increased adoption of cryptocurrencies and blockchain technology, driving innovation and growth in the space.
