Stripe & Advent Bid $53 Billion to Acquire PayPal amid Stablecoin Push

Varinder Singh
Updated
Varinder Singh

Varinder Singh

Independent Sr. Journalist
Expertise : Bitcoin, Crypto, Global Macro, DeFi, Blockchain, Web3, US Stocks, AI, Regulations and Lawsuits, & More
Varinder is a seasoned leader in the fintech and crypto media with over 12 years of experience, including over 6 years dedicated to blockchain, crypto, and Web3 developments. He is known for covering high-impact and quality news stories for publishers such as CoinGape, The Coin Republic, and The Crypto Times, while perfecting and training multiple journalists during his tenure. Being a Master of Technology degree holder, analytics thinker, and tech enthusiast, he has shared his knowledge of disruptive technologies in over 6000 news articles and papers.
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Stripe & Advent Bid $53 Billion to Acquire PayPal amid Stablecoin Push
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Highlights

  • Stripe and Advent International offers to acquire PayPal for $53 billion.
  • The bid is backed by $50 billion in financing from banks amid active discussions.
  • Stripe and PayPal continue to expand into stablecoin industry, with PYUSD reaching $2.85 billion.
  • PYPL stock surges over 13% in overnight trading.

Payments giant Stripe and private equity firm Advent International have jointly offered to acquire PayPal Holdings for more than $53 billion. This marks one of the largest acquisition deals as both companies are actively expanding into stablecoins, mainly amid the GENIUS Act and the CLARITY Act developments.

PayPal Gets $53 Billion Acquisitions Offer from Stripe and Advent

Stripe and Advent International submitted a confidential offer earlier this month for $60.50 per share, Reuters reported on July 15. The proposed bid is backed by about $50 billion in committed financing from banks.

Stripe and Advent would jointly own PayPal with equal stakes, rather than breaking up the company. The acquisition offer follows an initial approach made in April, with the parties reportedly aiming to advance discussions in the coming weeks.

As CoinGape earlier reported, Stripe was in early talks to acquire all or part of PayPal. In April, PayPal even split its operations into three units covering ​checkout, consumer financial services Venmo, and payments and crypto.

The acquisition push comes amid rising competition and innovation in digital payments, particularly around stablecoins. No final agreement has been reached, and any deal would likely face regulatory scrutiny given the scale and market overlap.

Stripe Plans Deeper Expansion into Stablecoins

Stripe is heavily investing in crypto infrastructure, partnering and developing solutions for stablecoin payments. Notably, Strike and Paradigm developed Tempo Layer-1 blockchain to scale stablecoin payments.

In addition, Stripe is leading the Open Standard’s Open USD (OUSD) consortium. It consists of tradFi and crypto partners including BlackRock, Mastercard, Coinbase, Ripple, and PayPal.

Meanwhile, PayPal continued to expand its PYUSD stablecoin and making it available across markets for fast and low-cost cross-border transactions. PYUSD is the 9th largest stablecoin by market cap at $2.85 billion.

PayPal Stock Rockets 13%

PayPal stock has surged by 13.26% in overnight trading after closing 0.59% lower at $47.37 on Tuesday. The intraday low and high were $46.43 and $47.39, respectively.

PYPL stock has rallied 14% in a month amid PayPal’s potential acquisition by Stripe. Notably, the acquisition offer represents a roughly 28% premium over PYPL stock’s closing price on the previous trading day.

Wolf Financial’s Sam Badawi said the $53 billion offer by Stripe and Advent would value the PYPL stock at roughly $60 per share.

“A PayPal acquisition would be massive for Stripe, giving it a dominant asset and an immediate boost to its market share in the U.S. and internationally,” he added.

As traditional financial networks rapidly adopt digital currencies, merchants can stay ahead of the curve by integrating the best crypto payment gateways to accept secure, low-cost assets at checkout.

Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
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Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more… to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

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About Author
About Author
Varinder is a seasoned leader in the fintech and crypto media with over 12 years of experience, including over 6 years dedicated to blockchain, crypto, and Web3 developments. He is known for covering high-impact and quality news stories for publishers such as CoinGape, The Coin Republic, and The Crypto Times, while perfecting and training multiple journalists during his tenure. Being a Master of Technology degree holder, analytics thinker, and tech enthusiast, he has shared his knowledge of disruptive technologies in over 6000 news articles and papers.