Stripe has expanded its stablecoin payment functionality to support subscription-based services, allowing businesses to accept recurring payments in digital assets such as USDC. The new feature, now in private preview, will initially be available to US-based firms, with transactions processed over the Base and Polygon blockchains. The company first introduced stablecoin payments a year ago, aiming to address challenges associated with cross-border transactions.
Stablecoins, which represent cryptocurrencies pegged to fiat currencies, have since gained traction among global businesses that are looking for faster and cheaper settlements. According to Stripe, stablecoin transactions settle almost instantly and cost roughly half as much to process as traditional payment methods.
Addressing recurring payment limitations
A key development behind the new subscription capability is a smart contract system designed to address one of blockchain payments’ main constraints: the need for users to manually approve each transaction. Stripe’s contract allows customers to register their crypto wallet as a payment method and pre-authorise future recurring payments without repeated approvals. The integration supports more than 400 wallets, offering a process similar to saving a card for repeat billing.
With this update, businesses will be able to manage both fiat and stablecoin subscriptions directly through the Stripe Dashboard. The functionality also connects with the company’s Optimised Checkout Suite and Billing tools, extending stablecoin utility across its payment ecosystem.
Officials from Stripe said the expansion was driven by demand from firms with recurring revenue models, which represent nearly a third of its business customers. Many of these companies, particularly in the AI sector, generate a large share of their revenue from outside the US and face high costs and delays with conventional cross-border transactions.
A representative from one AI firm using the feature noted that stablecoin payments had lowered international payment costs and improved settlement efficiency, especially in markets where access to traditional financial systems is limited.