Buy-now-pay-later firm Klarna is collaborating with the Stripe-owned wallet infrastructure firm Privy to build a crypto wallet following the announcement of KlarnaUSD, its own dollar-backed stablecoin.
The Swedish fintech firm signed a research partnership with Privy, which will see it co-design a wallet designed to make it easier for those who previously don’t have experience buying, trading, or holding cryptocurrencies.
“Millions already trust Klarna to help them manage everyday spending, saving, and shopping. That puts us in a unique position to bring crypto into the financial lives of normal people, not just early adopters,” said Klarna co-founder and CEO Sebastian Siemiatkowski, in a statement.
“The technology has matured, and with Privy we plan to build products that feel as intuitive as any other Klarna feature,” he added. “This is how mainstream adoption happens: simple, safe, and part of daily life.”
The collaboration with Privy deepens Klarna’s connection to crypto and global payments firm Stripe, which acquired the crypto wallet tech firm in June.
Last month, Klarna announced its KlarnaUSD stablecoin would be created using Bridge, a stablecoin platform that Stripe acquired for $1.1 billion last year. Its launch will also take place on stablecoin and payments network Tempo, a layer-1 blockchain incubated by Stripe and crypto venture capital firm, Paradigm.
With its own wallet, Klarna envisions users of its services will be able to hold a “wide variety of digital assets.”
“We’re proud to partner with world-class fintechs like Klarna, providing the secure, enterprise-ready infrastructure they need,” said Privy CEO and co-founder Henri Stern, in a statement. “Privy aims to be the backbone for any business that wants to harness the exciting capabilities crypto and stablecoins offer.”
Privy’s embedded wallet products have been integrated in some of crypto’s most popular applications, like perps decentralized exchange Hyperliquid and Solana token launchpad, Pump.fun.
A timeline for a Klarna wallet was not provided, with a representative for the firm telling Decrypt that it’s a “research and development initiative” and that Klarna has “no firm product plans at this stage.” The firm’s statement indicated an additional announcement is coming next week.
Editor’s note: This story was updated after publication to include comment from Klarna.
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