Cryptocurrency exchange Bitstamp has teamed up with fintech platform Stripe to simplify crypto purchases across Europe. This collaboration follows Robinhood’s recent $200 million acquisition of Bitstamp.
On August 7, Bitstamp revealed its partnership with Stripe, enabling consumers in the European Union to buy cryptocurrencies through Stripe’s fiat-to-crypto on-ramp. Bitstamp highlighted that this partnership offers users a seamless and optimized checkout experience for cryptocurrency conversion, allowing near-instant settlement of transactions.
Understanding Stripe’s On-Ramp
Launched in May 2023, Stripe’s fiat-to-crypto on-ramp is designed for individuals who lack crypto holdings, enabling them to transact in cryptocurrencies effortlessly. This solution addresses the “cold start problem” by allowing customers to purchase crypto when they need it and exchange it for other assets.
Stripe offers two implementations for its on-ramp solution:
- Embeddable On-Ramp: Developers can easily integrate a crypto-purchasing widget into their websites or apps with minimal coding.
- Stripe-Hosted On-Ramp: Companies can direct their customers to a Stripe-hosted site, Crypto.link.com, to facilitate crypto purchases without coding.
Bitstamp’s Role in the Partnership
In this collaboration, Bitstamp will handle fiat-to-cryptocurrency conversions and transfers for consumers. This partnership also expands Bitstamp-as-a-service, a crypto solution providing backend infrastructure built with the Bitstamp exchange.
Stripe’s crypto on-ramp supports several cryptocurrencies, including:
- Bitcoin (BTC)
- Ether (ETH)
- Solana’s SOL
- Stellar Lumen (XLM)
- USD Coin (USDC)
Additionally, Stripe ensures compliance with regulatory requirements such as Know Your Customer (KYC) verifications and sanctions screening, ensuring instant crypto delivery post-KYC. Consumers can make purchases using credit and debit cards, and tools like Apple Pay, with availability in the EU and the United States, excluding Hawaii.
This partnership comes shortly after Robinhood’s announcement of a $200 million acquisition of Bitstamp on June 6. The transaction, pending regulatory approval, is expected to be finalized in the first half of 2025.
