Stripe expands Japan payments with PayPay and instalments

Stripe has launched a set of new payments features for businesses operating in Japan, adding acceptance of PayPay and enabling card instalment options for online purchases.

In a statement, Stripe said businesses on its platform can now accept PayPay, a QR code-based wallet with more than 68 million users in Japan. It added that PayPay payouts can be settled in as few as four business days, rather than waiting until the end of the month, improving cash flow for merchants.

Stripe also introduced card instalment functionality, allowing customers to split purchases into smaller payments. The option includes support for bonus and revolving payments, which are widely used in the Japanese market.

“I am delighted to announce our partnership with Stripe,” said Toshifumi Kasakawa, chief executive officer of PayPay. “Businesses on Stripe can now offer PayPay's QR code-based payments to their customers. I firmly believe that Stripe’s vision of expanding the GDP of the internet will not only bolster businesses worldwide, but also enhance the quality of life for individuals.”

Merchants already using the new tools said the added flexibility is helping them reach more customers. “We’ve introduced card instalment options with Stripe to make it easy for customers to purchase our window-shaped smart digital displays in instalments,” said Kyohei Nakano, co-founder of Atmoph, which uses Stripe Billing to manage subscriptions. He said the wider range of payment methods has expanded the company’s customer base.

Stripe said the update also includes new support to help businesses comply with Japan’s mandatory 3D Secure requirements for online credit card payments, which came into force at the end of March. The platform will automatically apply exemptions where possible to reduce checkout friction.

In addition, Stripe said it is the first payments platform in Japan to support network tokens. These credentials are tied to a specific card and merchant pair and provide an alternative to storing a card’s primary account number, improving security and authorisation rates.

“The Stripe dashboard allows us to swiftly manage fraudulent transactions including 3D Secure,” said Fuyuki Takasawa, technology advisor at Sourcenext. He added that analysing data across the company’s e-commerce site and Stripe helped resolve a logic issue that lifted sales of a previously underperforming product by 15% year on year.

Stripe said it works with Japanese companies including Toyota, Nikkei, ANA Group and Tokyu, alongside global customers such as X, Shopify, Uber and Atlassian. The company said businesses can contact Stripe to learn more about the full range of products now available in Japan.

The Recap

• Stripe launched payments features for businesses in Japan.
• PayPay payouts can arrive in as few as four business days.
• Stripe added 3D Secure support and network token capability.