Stripe Revolutionizes Payments: New Stablecoin Subscriptions Enable Recurring Billing Directly to Customer Wallets

Stripe just flipped the subscription economy on its head—merchants can now bill customer wallets automatically using stablecoins.

The Game-Changer

Recurring crypto payments finally work like traditional subscriptions—without the banking middlemen. Merchants set up automated billing cycles that pull directly from customer wallets. No more manual approvals for each transaction.

Why This Matters

Stablecoins eliminate volatility concerns that previously made crypto subscriptions impractical. Customers maintain control of their funds until payment execution. The system bypasses credit card networks entirely—cutting processing fees that typically eat 3% of every transaction.

The Fine Print

Initial support focuses on major stablecoins with plans to expand across blockchain networks. Wallet compatibility requirements mean some users might need to upgrade their current setup.

Because apparently the traditional finance system's 50-year-old infrastructure needed a little blockchain disruption to finally innovate beyond raising interchange fees.

Stripe limits stablecoin subscriptions to U.S. businesses  

Currently, Stripe only allows U.S. businesses to accept stablecoin payments settled in customer accounts in USD. Merchants can also receive fiat settlements automatically through the platform’s integrated billing system. The stablecoin subscription feature is compatible with Elements, Checkout, the Payment Intents API, and Payment Links, and also supports one-off payments. 

The new stablecoin feature also limits transaction amounts to $10,000 per transaction and $100,000 per month, restricting large-scale applications. Meanwhile, Connect platforms allow crypto payments for all charge types, although each connected account should have an enabled crypto payment method. 

Jennifer Lee, the Head of Product and Crypto Payments at Stripe, also said the platform only supports subscription payments made in USDC on Base and Polygon. AI firm Shadeform has disclosed that it has shifted roughly 20% of its payment volume to stablecoins, which are less expensive to process and settle instantly.  

Stripe has solved on-chain friction through its custom smart contracts, eliminating the need for manual signing on every contract, one of the biggest headaches in crypto payments. The new feature enables customers to save their wallets as their preferred payment method and authorize recurring payments without needing to re-sign the contracts. 

The company noted that top AI firms utilizing its payment service generate nearly 60% of their revenue outside the U.S., where cross-border payments can be costly and unreliable. Users can also manage fiat and stablecoin subscription payments from their Stripe dashboard. 

Mashrabov says Stripe will open up global payments

The CEO of Higgsfield, Alex Mashrabov, said he is excited about collaborating with Stripe to roll out stablecoin subscription payments. He believes stablecoin payments help reduce the cost of revenue for payments from all around the world. 

Mashrabov believes the new feature will attract more tech-forward users and reach those without access to conventional payment methods. Stripe’s President, Will Gaybrick, also supported this sentiment, asserting that his company’s role is to push experimental frontier technology into the mainstream. 

“With the advent of stablecoins and AI, we’re at the dawn of a new online economy. And we’re relentlessly focused on channeling its many opportunities to help our customers grow.” 

–Will Gaybrick, President of Stripe 

Stripe recently announced new products to help businesses grow revenue by leveraging stablecoins and AI. The company launched over 40 new products and features as part of its Stripe Tour New York annual product showcase.  Open Issuance is one of the products that has been launched. It empowers businesses to launch their stablecoins and manage their projects with a few lines of code. Open Issuance also helps businesses and customers transact through AI agents and tools. 

Zach Abrams, the Co-founder and CEO of Bridge, believes that businesses based on money transfer should invest in stablecoins. He explained that Open Issuance can help businesses build on top of stablecoins they control and customize.  Abrams is convinced the benefits of this critical technology FLOW directly to the businesses and individuals using it.

Stripe previously revealed that it is working with Microsoft Copilot, Replit, Anthropic, Lovable, Manus, Perplexity, and Vercel to test its solutions in real-world settings. The company emphasized that the tests will help businesses prepare for agentic commerce.   

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