Stripe, the world’s most valuable fintech startup, announced Friday that it will temporarily move to an invite-only model for signing up new accounts in India, calling the move a “difficult decision” as it scales in the country’s evolving regulatory landscape.
In a statement published on its websiteStripe said businesses in India will no longer be able to create new accounts through the company’s website and will instead need to request an invitation. The startup, which competes with YC-backed Cashfree and Razorpay in the country, will now focus on supporting a number of businesses, particularly those focused on international expansion.
“The regulatory landscape in India continues to evolve and our goal is to bring the same experience in India that we aspire to provide to all of our users around the world,” Stripe said in the statement. “For example, allowing all new users to get started quickly with easy onboarding is a core Stripe feature that we cannot promise in India today. »
Stripe did not specify which regulatory change affected the company. The Reserve Bank of India, the country’s central bank, has introduced a series of stringent policy changes over the past two years that have impacted several financial services companies and startups.
This change is unlikely to have a significant impact on Stripe’s bottom line given that the startup has limited operations in India and, for that matter, many Asian markets.
Stripe said it remains committed to the Indian market for the long term and is working to build the infrastructure needed to support more users in the country by the second half of 2025.
Indian businesses that were considering using Stripe to process payments will have to explore other options in the meantime. Existing users will not be affected, Stripe said.