Analyst: If we acquire PayPal, Stripe, or leverage Venmo to expand our consumer-side footprint

BlockBeats News, February 26th, Mizuho analysts stated that if payment company Stripe advances in a potential acquisition deal for PayPal, it will help the former further expand from its traditional merchant payment business to the consumer market. Earlier reports indicated that Stripe is considering acquiring all or part of PayPal's business.

In terms of scale, the transaction is feasible. Stripe's latest valuation is about $159 billion, significantly higher than PayPal's market capitalization of about $43 billion. Analysts believe that PayPal's large user base and its peer-to-peer payment app Venmo will provide Stripe with a strong consumer-side brand and user network support.

Furthermore, PayPal's Braintree merchant payment infrastructure could also enhance Stripe's competitiveness in the payment processing market. The analysis points out that Braintree could bring about $700 billion in total payment volume (TPV) to Stripe, while Stripe's current annual TPV is about $1.4 trillion. (The Block)