Financial infrastructure Fintech Stripe announced its acquisition of Privy, a crypto wallet infrastructure startup, marking a significant step in its expansion into the digital asset space.
This move, following Stripe’s $1.1 billion acquisition of stablecoin platform Bridge earlier in 2025, underscores the company’s commitment to integrating cryptocurrency with traditional financial systems to create seamless, internet-native financial services.
Privy, founded in 2021 by Henri Stern and Asta Li, will continue to operate as an independent product within Stripe’s ecosystem, leveraging the fintech firm’s resources to enhance its offerings for developers and businesses.
This acquisition positions Stripe to capitalize on the evolving cryptoeconomy by enhancing its ability to provide end-to-end infrastructure for crypto-enabled services.
Privy’s technology simplifies the onboarding process for cryptocurrency users by enabling developers to embed wallets directly into applications, eliminating the need for external setups like MetaMask.
With over 75 million accounts powered across 1,000+ developer teams and billions in transaction volume, Privy has established itself as a key player in making crypto accessible.
As Privy’s blog post states,
“We started Privy a little over three years ago to make it easy for any developer to build better products on crypto rails. By making crypto usable, we help make it useful for everyone.”
This aligns with Stripe’s vision of merging fiat and crypto systems so seamlessly that “the distinction becomes almost meaningless.”
The acquisition enhances Stripe’s ability to offer tools that simplify crypto adoption, enabling businesses to integrate digital assets into their platforms with minimal friction.
Stripe’s strategic focus on crypto is evident in its recent moves, including the introduction of stablecoin financial accounts in May 2025, which allow businesses to hold balances in stablecoins like USDC and USDB and facilitate cross-border payments.
Privy’s embedded wallet technology complements these initiatives by streamlining user onboarding and transaction processes, making it easier for businesses to adopt crypto rails.
Stripe CEO Patrick Collison emphasized the potential, stating:
“Money has to reside somewhere, and Privy builds the world’s best programmable vaults. Alongside our other stablecoin work, we’re looking forward to enabling a new generation of global, internet-native financial services.”
This acquisition positions Stripe to offer a comprehensive suite of tools, from stablecoin infrastructure to wallet integration, catering to the demand for crypto-enabled services.
Industry professionals have reacted positively to the acquisition, seeing it as a transformative step for both fintech and crypto.
A post on X by @cherdougie highlighted Privy’s user experience, noting,
“Privy nailed the UX devs actually needed: clean, compliant, embeddable wallet login that abstracts away key management. Stripe brings global infra, trust, and distribution.”
This sentiment underscores how Privy’s technology, combined with Stripe’s scale, could redefine how businesses integrate crypto.
Together, they now own wallets, onboarding, identity, and payments.”
These insights reflect the broader industry view that Stripe’s acquisition signals a convergence of traditional finance and crypto, with Privy’s infrastructure enabling smoother adoption.
The acquisition also enhances Stripe’s competitive edge in the fintech sector.
By integrating Privy’s technology, Stripe can offer developers tools to create intuitive crypto experiences, such as those used by clients like OpenSea and Blackbird.
This capability is critical as businesses increasingly seek to incorporate digital assets into their operations, from NFT marketplaces to loyalty programs.
Sequoia Capital, an early investor in Privy, noted,
“Joining Stripe will allow Privy to serve its existing customers with greater resources, and to empower more developers in changing how value moves through the internet.”
This synergy could accelerate innovation in the cryptoeconomy, enabling Stripe to capture a larger share of the growing digital asset market.
As the cryptoeconomy evolves, Stripe’s acquisition of Privy positions it to lead the charge in bridging fiat and crypto systems.
By combining Privy’s wallet infrastructure with its stablecoin capabilities, Stripe can offer businesses a seamless way to integrate digital assets, driving adoption and redefining global finance.
With the deal set to close in the coming weeks, the industry watches closely as Stripe continues to shape the future of internet-native financial services.