Stripe partners with major US banks to extend financial service offering

4 Dec 2020

From left: Patrick Collison and John Collison. Image: Stripe

Stripe Treasury is the fintech firm’s latest offering, which will give some Stripe platform users powerful APIs to embed financial services.

Irish payments company Stripe has launched Stripe Treasury, which will enable business customers to easily send, receive and store funds.

Though only available by invite only in the US at this stage, it is expected that Stripe will roll the service out internationally.

The company, which was founded by John and Patrick Collison in 2010, is partnering with major banks such as Goldman Sachs USA and Evolve Bank & Trust to offer standardised access to banking capabilities via APIs.

The fintech is also developing its bank partner network with Citibank and Barclays as global expansion partners.

In a statement, the company said its users want a digital solution for financial services available directly within the software platform that powers their operations. “Financial services simply weren’t designed for the modern internet, and this is a pain point for businesses today,” the statement read.

Additionally, Stripe is expanding its partnership with e-commerce company Shopify to build Shopify Balance. This means that independent businesses that use Shopify will be able to put their finances in one place, and manage cash flow and business spend.

Karim Temsamani, Stripe’s head of banking and financial products, said while everything about running an online business has been changed by tech, business banking has largely been left behind.

“We’re changing this, just like we set out to change payments a decade ago. Offering a user-centric banking experience should be as easy as spinning up a virtual server – that’s what we’re starting to accomplish at Stripe with our bank partner network,” he said.

Shopify’s senior product lead, Tui Allen, said the launch of Shopify Balance will empower its users to take control of their finances. “We’re excited to partner with Stripe to provide our merchants with critical financial tools and products for their banking experience, specifically designed for their businesses’ financial needs,” she said.

In September, Stripe announced plans to partner with Salesforce as part of the latter’s new Digital 360 platform, which brings together marketing, commerce and digital experience products to drive digital transformation in enterprises.

In April, the payments firm raised $600m in Series G funding, bringing the company’s total value to $36bn.

Jenny Darmody is the editor of Silicon Republic