What is Stripe? #
Stripe is a global financial infrastructure platform that enables businesses of all sizes—from startups to large enterprises—to accept online payments, send payouts, and manage their revenue operations. Stripe provides a suite of tools for accepting payments in over 135 currencies, managing subscriptions, handling invoicing, and more. Its technology powers millions of companies including Shopify, Deliveroo, Booking.com, and Amazon.
With Stripe, sellers can accept payments via credit and debit cards, wallets like Apple Pay and Google Pay, bank transfers, and local payment methods—all through a single, unified integration. Stripe also supports recurring billing, automated tax calculation, and fraud prevention tools, making it a robust, all-in-one solution for online commerce.
What is a Payment Gateway? #
A payment gateway is a service that enables secure electronic payments by acting as the middle layer between the customer’s bank and the seller’s business account. When a customer enters their card or payment details, the gateway encrypts and transmits this information securely to the payment processor or acquiring bank for authorisation.
Stripe acts as both a payment gateway and a payment processor, which simplifies the setup for businesses. This means sellers don’t need to maintain multiple integrations—they can use Stripe’s single platform to securely accept payments, process transactions, and manage financial reporting. Stripe also handles regulatory compliance, payment routing, and error handling automatically.
How Stripe Keeps Transactions Secure #
Security is central to Stripe’s infrastructure. Stripe is certified to the highest industry standards including PCI DSS Level 1—the most stringent level of certification available for payment processors. All payment data is encrypted in transit and at rest using advanced cryptographic protocols.
Stripe also includes built-in fraud detection through Radar, its machine-learning-based fraud prevention system. Radar evaluates every transaction in real-time, checking thousands of signals (such as location, device fingerprinting, and purchase patterns) to block suspicious activity without creating unnecessary friction for legitimate customers.
In addition, Stripe offers strong authentication support (such as 3D Secure) and complies with regulations like Strong Customer Authentication (SCA) in the UK and EU. These measures ensure that customer and business data remains safe while maintaining a smooth checkout experience.
Stripe Connect for Marketplaces & Platforms #
Stripe Connect is Stripe’s dedicated solution for platforms, marketplaces, and multi-vendor websites. It allows sellers to onboard easily, receive direct payouts, and manage their earnings securely—all through Stripe’s infrastructure.
Using Connect, sellers can be paid out in their local currency, while Stripe handles compliance, tax reporting, and verification (including KYC checks). Businesses can choose between Standard, Express, or Custom account types depending on how much control they want over the seller experience. Connect also supports split payments, automated fee deduction, and real-time reporting—making it ideal for marketplaces like ours.
