Kickstarter, the global crowdfunding platform, has changed its payment process from Amazon.com, Inc. (NASDAQ:AMZN) Payments to Stripe. On January 7, 2015, it said that it is now processing and collecting all its payments through Stripe.
Kickstarter was founded in mid-2009 by Perry Chen, Yancey Strickler and Charles Adler. Since then its payments were managed by Amazon Payments. The $1.2 Billion have been processed in these 7 years. However Amazon planned to stop its service last year. And Kickstarter started looking for a new payment service.
Finally, Stripe, a $3.5 billion company, was chosen for further payment processing. Stripe is a very famous payment mode. Its portfolio consist of some big tech clients like Twitter Inc (NYSE:TWTR) and Facebook Inc (NASDAQ:FB) and many more like Lyft, Shopify, TaskRabbit, Instacart, Rackspace, Postmates, Handybook, Salesforce, OpenTable, Bigcommerce, Reddit, SquareSpace, WuFoo.
This is very beneficial to Kickstarter. According to Kickstarter “Stripe will help Kickstarter’s users reach a broader audience and see higher conversion rates from backers anywhere in the world – especially those coming from mobile devices.”
Earlier the users had to open an Amazon Payment account for payment transfers. Now they can process payment directly through their bank accounts. They will now have to enter their bank account details in their Kickstarter account. The transaction time will also kick up. It takes only a few minutes now.
Moving from Amazon.com, Inc. (NASDAQ:AMZN) to Stripe is said to be completely done by next week.
Who are they?
• Kickstarter-is a crowdfunding platform. It funds creative projects. Project creators plan and draft their project here mentioning the fund they require. Backers support creators dream by funding them.
• Stripe- provides businesses and individuals to make and receive payments online. It was founded by Collison brothers with initial capital of $130 million which they received from various investors. It has a client base of over 17 thousand websites and supports payments in 14 countries.
• Amazon Payments- is a subsidiary of Amazon.com, Inc. (NASDAQ:AMZN), launched in 2007, that processes transactions.