Strike Raises $80M for Its E-Commerce Payment Platform
Long gone are the days when crypto and blockchains were obscure technologies. Now blockchain startups are some of the most funded private companies, so much so that they are purchasing naming rights to stadiums such as the Crypto.com Arena in Los Angeles. While there are no stadiums in Chicago named after blockchain companies, one local company developing crypto payment solutions for e-commerce brands recently secured staggering new funding.
On Tuesday, Strike announced that it raised $80 million in a Series B funding round led by Ten31, a VC firm focused on Bitcoin-native companies.
Strike is a payment solutions platform used by several well-known e-commerce companies and enables those businesses to accept crypto as a form of payment when customers are checking out. Through an API, Strike is able to offer a checkout experience for customers that is similar to using a traditional debit or credit card.
“We’re moving full speed ahead not just to integrate Strike’s revolutionary payments with leading merchants, but globally with a variety of businesses and partners to innovate and deliver on more financial inclusion,” Jack Mallers, founder and CEO of Strike, said in a statement.
Partners using Strike’s technology benefit from low transaction fees and fast processing times since payments are verified and processed on the Bitcoin Lightning Network.
Privacy has been a big factor that has barred crypto payments from becoming a primary payment method. Bitcoin wallet address leaks are a concern amongst customers and businesses as they can potentially reveal transcripts of all transactions carried out by the owner. But since Strike uses the Bitcoin Lightning Network to process payments, these types of leaks are less likely as the method doesn’t create entries for individual payments.
With the new funding, Strike will expand and launch new partnerships with companies in order to bring its payment solutions to more customers shopping online. Strike will also use the money to launch new products aimed at financial institutions. Those products would enable new customers to use its payment processing platforms and technology.