Crypto-Friendly Stripe to go Public in 12 Months
- Stripe was launched in 2010 by Irish businessmen John and Patrick Collison and provides payment solutions to several companies.
- Stripe has had a rocky relationship with digital assets since 2014.
- Stripe halted its Bitcoin payment service in 2018 and reentered the crypto market in 2021.
Payment company Stripe has given itself a 12-month timeline to go public. According to sources, the crypto-friendly company intends to go public via a direct listing or by exploring a transaction on the private market, such as a fundraising event and a tender offer. The move comes as several tech giants are laying off staff.
Stripe has reportedly recruited Goldman Sachs and JPMorgan Chase to provide advice on the viability and timing of a public-market launch. However, sources familiar with the situation claim the company’s management is unlikely to go for a conventional initial public offering since it does not need to raise extra funds. Instead, experts expect Stripe to pursue a direct listing, which would place its shares on a public exchange and allow the market to determine the price.
Stripe, like most fintech companies, has dabbled in the digital asset market since 2014. In 2015, Stripe announced that it would allow users to send and receive Bitcoin. However, the payment company surprisingly halted its Bitcoin payment services in 2018.
The company claimed Bitcoin was best used as an asset rather than a means of exchange. Stripe returned to the crypto space during the 2021 bull run with a heightened focus on blockchain payments. Stripe later announced fiat payment support for NFTs and cryptocurrencies in 2022.
Stripe, which was most recently valued at $95 billion, has also suffered greatly from the global recession and let off 1,120 employees, or 14% of its workforce, in November. Stripe also reduced its internal valuation several times in 2022.
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