Major payments firm to stop accepting bitcoin

Nation/World
This is an archived article and the information in the article may be outdated. Please look at the time stamp on the story to see when it was last updated.

(CNN Money) — An early cheerleader for bitcoin has announced it’s pulling the plug on the digital currency.

Leading online payments company Stripe said it will stop processing bitcoin transactions in April.

Stripe, which works with more than 100,000 businesses around the world, said it made the decision because huge volatility in bitcoin’s price has made it pretty impractical for making and receiving payments.

“Bitcoin has evolved to become better-suited to being an asset than being a means of exchange,” Stripe executive Tom Karlo wrote in a company blog post Tuesday.

Related: What is bitcoin?

Stripe’s withdrawal of support comes on the back of bitcoin’s wild ride over the last year or so.

Over the course of 2017, its price surged from under $1,000 to more than $19,000 at one point. It’s plunged back to around $10,000 during tumultuous trading this month.

Experts say that the violent swings make bitcoin less useful as a currency and more of a vehicle for speculators to bet on its future value.

Stripe was one of the first payments companies to throw its weight behind bitcoin, introducing transactions in the virtual currency in early 2015.

But since then, transaction fees for processing bitcoin payments have risen, Stripe said. That has made the currency less and less popular with businesses that use Stripe.

Related: Bitcoin mania: What the big finance names are saying

The company said it would stop processing all bitcoin transactions on April 23.

Gaming company Steam stopped accepting bitcoin payments for similar reasons in December.

However, Stripe said it couldn’t rule out adopting bitcoin again at some point in the future. It added that it was also looking into using other virtual currencies, such as ethereum and lightning.

Copyright 2021 Nexstar Media Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.

Trademark and Copyright 2021 Cable News Network, Inc., a Time Warner Company. All rights reserved.

Popular

LATEST VIDEO

Food Truck Friday with Big 6 BBQ - Shannon LaNier

Weird wine creations - Adam Krueger and Hannah Trippett

$5K reward for the tiger - What would Adam do? - Watch!

"Moggy" - Adam Krueger makes up a new weather word!

Mystery Wire - Citizen Hearing on UFO Disclosure

Pairing wine with weather

Help your Neighbor

adam test 2

Houston Weather - Future Rain - Adam Krueger

Atlantic Hurricane Season - Adam Krueger

adam test

Grogan building supply

Houston Texans 2021 schedule

Houston Weather - Weekend forecast - Adam Krueger

Ohio to give $1 million to five vaccinated residents in weekly drawings

Houston Weather In One Minute - Star Harvey

Strengthen your home before a hurricane - Carrigan Chauvin

Personality Changes Due to Pandemic - Jane King

adam 6f

Houston Weather - Need Umbrellas, 10-day forecast - Star Harvey

FEATURED STORIES

More Featured

ZIP RECRUITER

CRIME

More Crime

Local Headlines

More Local

Don't Miss