This editorial article is a part of Web3 Month of Technical.ly's 2022 editorial calendar.
Allentown-based Shift4 Payments, a tech company aiming to simplify complex payment systems across industries, announced this week it would be acquiring two companies to accelerate its growth and venture into the crypto and blockchain space.
It’s acquiring Finaro, a cross-border ecommerce payments provider with a large European presence, and DC-based The Giving Block, which specializes in cryptocurrency fundraising for nonprofits. The companies better position Shift4 “to pursue a multi-trillion-dollar addressable market across the world,” including payments in ecommerce, gaming, hospitality, retail and charitable giving, and gives the company a new capability of cryptocurrency, it said.
Finaro’s capabilities will allow Shift4 to able to expand its services — including its SkyTab POS solution, Shift4Shop ecommerce platform, and VenueNext stadium offering — around the world.
And The Giving Block’s operations will allow Shift4 to bundle crypto donation capabilities in with traditional card payments, it said, and the DC company’s tech team will establish a Crypto Innovation Center at Shift4. The Giving Block currently works with over 1,300 nonprofits in the crypto donation marketplace.
“Cryptocurrency is quickly moving beyond early adoption and becoming increasingly mainstream as more people want to invest, transact and donate in crypto,” Shift4 CEO Jared Isaacman said in a statement. “We intend to be at the forefront of this movement and leverage The Giving Block technology across the entire Shift4 enterprise.”
Isaacman began Shift4 Payments when he was just 16, more than two decades ago, and is also the founder of Draken International, a provider of commercial military flight services. He’s also one of the folks who flew on the first private SpaceX flight to orbit last year — and has plans to go again. The CEO also made last year’s EY Entrepreneur of the Year 2021 National program, along with Philly-area Misfits Market founder and CEO Abhi Ramesh.
“These two acquisitions build on the momentum from our recent investor day and underscore our aggressive efforts to deliver a unified commerce experience across the world,” he said. “These deals clearly show our ability to support existing transformational and global customers like SpaceX Starlink and St. Jude Children’s Research Hospital and provide a real right-to-win additional customers across the nonprofit vertical. It also represents an exciting and responsible step towards further embracing cryptocurrencies and blockchain technology.”
A rep for Shift4 did not immediately respond to a request for comment. Though financial details of the deal were not disclosed, a press release says the deals are expected to contribute over $15 billion of end-to-end payment volume and $35 million of adjusted EBITDA (earnings before interest, taxes, depreciation and amortization) in 2023.
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