Current Affairs

Issue

Stripe Inc. has become the most valuable US start-up after it was valued at $95 billion owing to latest round of funding.

 

Background

Stripe is an online payments processing company. The latest evaluation overtook companies such as SpaceX and Instacart Inc.

 

Details

• Stripe was founded by Patrick Collison and his younger brother John in 2010. Their net worth jumped to $11.4 billion each after the latest valuation.

• The company’s software is used by e-commerce giants to accept payments. Customers of stripe include Amazon, Salesforce, and Lyft.

• Stripe has invested in its European operations for supporting its growing demand and expanding its global payments and treasury network. 

• Primary investors of Stripe include the digital investment unit of Allianz Group, Baillie Gifford, Axa SA, Fidelity Management & Research Co., Sequoia Capital and Ireland’s National Treasury Management Agency.

• In April 2020, Stripe was valued at $35 billion when it raised $600 million from investors such as Andreessen Horowitz and Sequoia Capital.

• Stripe has benefitted immensely from the e-commerce boom that was enhanced by the coronavirus pandemic.