However, this is not Stripe's first contact with Paystack. Their 2018 series "A Financing Round" was led by Stripe.
This is in addition to $120k the Nigerian payments startup received in funding from US-based seed-stage accelerator, Y Combinator and previous investments from Tencent, Comcast Ventures, Singularity Investments, Michael Seibel, Justin Kan, Jason Njoku's SPARK.ng and others that made up its seed funding of $1.3 million.
"There is enormous opportunity", said Patrick Collison, Stripe's co-founder and CEO, in an interview with TechCrunch.
He explained that although Africa is smaller than other regions, online commerce will grow about 30 per cent every year.
The technology company Stripe builds economic infrastructure for the internet. "And second is how Stripe is putting a bet on the emerging markets of Africa specifically in the future of its own growth", the report stated.
Matt Henderson, business lead, Emea, Stripe, says: "In just five years, Paystack has done what many companies could not achieve in decades".
Paystack is a growth engine for modern businesses in Africa, and we couldn't be more excited to join forces with Stripe, whose mission and values are so aligned with ours, to nurture transformative businesses on the continent.
Akinlade said the company would leverage Stripe's resources and deep expertise to accelerate its expansion and introduce more payment channels, more value-added services, and deeper integrations with global platforms. "It is a very natural move".
Founded in 2015 by Shola Akinlade and Ezra Olubi, when Akinlade, while having fun, built a quick way of integrating a card transaction into a web page, Paystack now has around 60,000 customers.
The fintech company now boasts of around 60,000 customers, including small businesses, larger corporates, educational institutions and online companies.
While Nigeria is the continent's biggest economy, it is also the most corrupt per Transparency International.
Paystack has been on Stripe's radar for a while, the company has participated in some funding round for Paystack.
The company, founded by Limerick brothers Patrick and John Collison, raised more than €510m in funding earlier this year at a valuation of nearly €30.75bn.