Stripe, an online payments giant, does not want to go public yet, according to company co-founder John Collison.
Stripe remains a private company
In an exclusive interview with CNBC’s Hadley Gamble at Fintech Abu Dhabi Festival, Collison said they were very happy to be a private company. He said that part of the origin of their patience is that they are still very early in their journey.
Collison’s comments come after a Bloomberg report said the company was in talks with investment banks to go public in 2022.
Collison said Stripe plans to expand into the Persian Gulf, including Qatar, the United Arab Emirates and Saudi Arabia.
Strip already has exclusive clients from Deliveroo, a $ 7.5 billion food delivery company. Sportswear brand Squatwolf also uses Stripe as a payment option.
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Collison, the chairman of Stripe, said they were launched in the United Arab Emirates in June and were only seeing the massive rise.
He added that the UAE is a massive region that is just starting to shift in terms of its own growth. He added that they feel like they are very early on the trip and are still investing.
Stripe is unlikely to seek an IPO in the near future. This isn’t the first time Stripe has ended discussions about a debut on the stock market.
The company was last valued at $ 95 billion, making it more expensive than Uber before the rideshare company’s business went public.
The company was founded by Irish brothers Patrick and John Collison in 2009. It has since grown into a payment center that processes billions of dollars in transactions each year for big companies like Google, Amazon and Deliveroo. The company’s competitors include Square, PayPal, Adyen, and Checkout.com.
Stripe has spread to other areas of finance as well, including lending and tax management. The company ruled out the idea of being a bank, which would lead to regulatory oversight and increased costs.
Another space that Stripe has started to settle in is cryptocurrency. The company announced that it has set up a team to focus on crypto and Web 3, a term that refers to a new decentralized version of the Internet.
Collison said he is interested in a few emerging innovations in the crypto market, from Solana, which is a competitor to Ethereum; and the second largest digital currency in the world, to layer 2 blockchain systems similar to Bitcoin’s Lightning Network, which are created to increase transactions and process them at a much lower cost.
Stripe used to accept Bitcoin payments, but they discontinued cryptocurrency support in 2018 due to price volatility and lack of efficiency, especially when it comes to transactions.
Collison added that a few developments in cryptocurrencies are now improving it. When asked if the company would resume accepting crypto payments, Collison said it was a possibility.
In 2015, Stripe partnered with Lyft to facilitate passenger payment. That same year, Twitter also added Stripe as one of the payment methods for its marketplace space.
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Written by Sophie Webster
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