US-based Payment Giant Stripe Takes New Step in Cryptocurrencies

Payments giant Stripe has ushered in a new era of stablecoin payments. The company has announced a new feature that now allows stablecoin payments for subscription-based services.

Stripe, which launched stablecoin payment support a year ago, has helped many fast-growing global technology and artificial intelligence (AI) companies increase their international revenues. According to the company’s data, 19 of the top 20 AI companies using Stripe are based in the US, but generate 60% of their revenue outside the country. However, the slow, costly, and error-prone nature of cross-border payments has led some companies to turn to alternative solutions.

For example, at companies like Shadeform, around 20% of payment volume has shifted to stablecoin transactions. These transactions are completed almost instantly and at twice the cost of traditional methods.

With the new feature, Stripe will allow businesses on its platform to:

• Offering its customers the opportunity to pay for subscriptions with stablecoins,
• Manage fiat and stablecoin-based payments through a single Stripe Dashboard,
• Provides full integration with Stripe Billing and Optimized Checkout Suite,
• It makes it possible to extend the advantages of stablecoins to the entire product range.

Stripe developed a custom smart contract for this system that addresses one of the fundamental limitations of blockchain payments. This contract allows users to register their wallet as a payment method and authorize recurring payments without re-authorizing each transaction. The system supports over 400 cryptocurrency wallets.

“Stablecoin payments help us lower our cost of revenue from global customers, attract more tech-savvy users, and reach audiences that lack access to traditional payment methods,” said Alex Mashrabov, CEO of Higgsfield, one of the first companies to implement stablecoin subscription payments with Stripe.

*This is not investment advice.