Swedish fintech Klarna is pushing deeper into the world of crypto with a new partnership that could bring digital wallets directly into its app experience.
Quick Summary – TLDR:
- Klarna has partnered with wallet platform Privy to explore in-app crypto wallet development.
- The initiative follows Klarna’s launch of its stablecoin, KlarnaUSD.
- Privy, now part of Stripe, will supply secure infrastructure to power wallet features.
- Klarna aims to make crypto easy and accessible for everyday users, not just tech-savvy early adopters.
What Happened?
Klarna, the well-known buy now pay later fintech, announced a research partnership with Privy to explore integrating a crypto wallet into its financial app. The move builds on Klarna’s recent stablecoin launch and aims to simplify crypto usage for everyday consumers. Any final product will still need to pass through regulatory approval before rollout.
We’re excited to announce that Privy is partnering with @klarna to design a simple, secure crypto wallet for millions of Klarna users.
— Privy (@privy_io) December 11, 2025
Together, we’re bringing digital assets into everyday financial life, from spending and saving to beyond.
Learn more: https://t.co/jjORBnpZh8 pic.twitter.com/qd3G93t7AQ
Klarna’s Next Big Bet: Bringing Crypto to the Masses
Klarna is working closely with Privy, a wallet infrastructure platform acquired by Stripe, to test wallet features that would allow users to store, send, and use digital assets without leaving the Klarna ecosystem.
This isn’t just an experiment for tech enthusiasts. Klarna wants to build a crypto wallet that blends seamlessly into daily financial routines like shopping, saving, and sending money. Klarna CEO Sebastian Siemiatkowski emphasized this mainstream approach, saying:
Previously cautious about crypto, Siemiatkowski now believes the technology is ready for broader adoption:
A Growing Crypto Strategy
This new collaboration follows the recent launch of KlarnaUSD, a stablecoin Klarna developed in partnership with Tempo and Bridge, a crypto payments platform built by Stripe. KlarnaUSD is designed to streamline international money transfers by cutting out costly intermediaries like the SWIFT network.
By embedding crypto features directly into its app, Klarna is taking steps to integrate digital currency into conventional finance, instead of positioning it as a separate or niche offering. The potential wallet could allow users to:
- Hold stablecoins and other crypto assets.
- Send funds to friends.
- Make global transactions.
- Possibly invest in or use crypto for payments.
The Role of Privy
Privy brings serious infrastructure to the table. With over 100 million user accounts supported across platforms like OpenSea and Hyperliquid, Privy’s backend is already handling billions in crypto transactions every month. Its CEO, Henri Stern, said:
This isn’t just another fintech partnership. Klarna holds a European banking license, putting it in a rare class of financial institutions that can explore crypto wallet integration while complying with financial regulations.
The Numbers Behind the Move
- Klarna currently has a market capitalization of $12.13 billion
- Its revenue grew 17.82% over the past year, though it’s still not profitable
- Klarna’s stock price has dipped nearly 30% over the past six months
- Over 716 million people globally hold cryptocurrency, with 40 to 70 million active users monthly, according to venture capital firm a16z
- That number is increasing by roughly 10 million users each year
SQ Magazine’s Takeaway
Honestly, this is a bold but smart move from Klarna. Instead of just launching a crypto product and hoping users come, they’re trying to fold crypto into tools people already use and trust. That’s the kind of integration crypto needs to truly go mainstream. The involvement of Stripe-backed Privy adds credibility, and Klarna’s banking license gives it an edge over most fintechs. If done right, this could become one of the most user-friendly ways to interact with crypto we’ve seen yet.
