Stripe’s $1.1B Bridge Acquisition Marks Largest Crypto Deal in History

In a landmark move that signals the growing convergence of traditional finance and cryptocurrency, payment processing giant Stripe has acquired stablecoin platform Bridge for $1.1 billion, as confirmed by TechCrunch founder Michael Arrington. The acquisition stands as both Stripe’s largest deal to date and one of the cryptocurrency industry’s most significant transactions.

“This deal is done. $1.1b,” Arrington announced through a post on X (formerly Twitter) on October 20, confirming weeks of speculation about the acquisition talks that had been in “advanced stages” since mid-October.

Bridge, founded in 2022 by former Coinbase executives Zach Abrams and Sean Yu, represents a significant leap forward from its previous $200 million valuation. The company, which raised $58 million from prominent investors including Sequoia, Ribbit, and Index Ventures, has developed a stablecoin-based payments network designed to compete with traditional systems like SWIFT and credit cards.

The acquisition aligns with Stripe’s recent aggressive push into cryptocurrency services. Earlier this month, the company introduced stablecoin payments on its main interface through Circle USD (USDC) integration, following co-founder John Collison’s announcement of global stablecoin payment support. Stripe, valued at $70 billion as of July, has already demonstrated its market dominance by processing over $1 trillion in payment volume in 2023, representing approximately 1% of global GDP.

The San Francisco and Dublin-based payment processor’s acquisition of Bridge significantly expands its cryptocurrency capabilities. Bridge’s API infrastructure enables businesses to create, store, send, and accept stablecoins, earning it the nickname “Web3’s answer to Stripe.” The platform’s founders bring impressive credentials to the deal, with Abrams previously serving as Head of Consumer at Coinbase and founding Evenly (later acquired by Square), while Yu held engineering positions at major tech companies including Coinbase, Square, DoorDash, and Airbnb.

This strategic acquisition positions Stripe to capitalize on the growing demand for cryptocurrency payment solutions while strengthening its presence in the digital asset space. The move could accelerate the mainstream adoption of stablecoin-based payments across the global financial services industry.