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Stripe has acquired crypto wallet infrastructure startup Privy, the latest step in the payments giant’s growing move into digital assets, especially U.S. dollar-backed stablecoins. Terms of the deal weren’t disclosed.
The acquisition comes on the heels of Stripe’s $1.1 billion purchase of stablecoin platform Bridge, which laid the groundwork for its recent rollout of money management tools powered by stablecoins. Stripe now lets users send and receive USDC across more than 100 countries, treating it much like a bank account.
Privy, which will continue to operate independently within Stripe, offers tools for embedding secure crypto wallets directly into apps — removing the usual hurdles like seed phrases and gas fees. Its infrastructure is already in use by platforms such as OpenSea, Farcaster, Hyperliquid, and crypto payments app Blackbird.
“Privy will keep building for developers working on crypto rails — now with more resources and firepower,” the company said in a statement posted on X.
Founded in 2021, Privy recently raised $15 million in a round led by Ribbit Capital, bringing total funding to over $40 million. Other backers include Sequoia Capital, Paradigm, BlueYard, and Coinbase Ventures.
Stripe co-founder and president John Collison told Bloomberg that interest in stablecoins is picking up among banks too. “They’re asking how stablecoins should be part of their product lineup,” he said.
Still, not everyone is convinced banks are ready to move. NYU professor Austin Campbell recently said traditional lenders are “panicking” over the idea of yield-bearing stablecoins eating into their core business.
Stablecoins like Tether’s USDT and Circle’s USDC now account for a market worth over $250 billion.
Stripe’s acquisition of Bridge, a Sequoia-backed company that focuses on moving money using stablecoins, remains the largest crypto-related merger to date. Bridge provides APIs that allow businesses to accept and move stablecoin payments globally with reduced complexity.
Stripe initially became a leader in the crypto space when it introduced Bitcoin payment support in 2014. However, it discontinued the feature in 2018, citing declining demand, long transaction times, higher fees, and price volatility. The company reintroduced crypto payments earlier this year, supporting USDC stablecoin transactions on Ethereum, Solana, and Polygon networks.
