Klarna Partners with Coinbase to Accept Stablecoin Funding from Institutional Investors

TLDR: 

• Klarna now accepts USDC stablecoin funding from institutional investors via Coinbase.
• Stablecoins provide a digital, USD-like funding source alongside traditional financing.
• Klarna launched its own stablecoin, KlarnaUSD, on a blockchain backed by Stripe.
• The company partners with Privy to develop further crypto products for its users.

Klarna has partnered with Coinbase to accept stablecoin funding from institutional investors, marking a strategic step into the crypto space. 

The Swedish buy-now-pay-later (BNPL) provider aims to diversify its funding sources beyond traditional deposits, loans, and commercial paper. 

Klarna’s CFO, Niclas Neglén, emphasized that stablecoins provide access to a new class of institutional investors, offering USD-like capital through digital channels.

Expanding Funding Channels with Stablecoins

Klarna’s collaboration with Coinbase allows the company to raise short-term funding denominated in USDC. 

This digital funding stream complements its existing capital sources, including deposits and bonds issued by its banking arm. Stablecoins, pegged to assets like the U.S. dollar, offer a faster and more efficient means of transferring funds for institutional investors.

The partnership leverages Coinbase’s established infrastructure, which currently serves over 260 businesses worldwide. 

Klarna plans to utilize this infrastructure to secure short-term institutional capital in a digitally native format. This arrangement provides Klarna with flexible options for raising liquidity, enhancing its funding mix for operational and strategic initiatives.

Neglén noted that stablecoin funding could diversify Klarna’s capital access in ways previously unavailable. 

The CFO described this development as the first step in integrating digital assets alongside traditional financing sources. By doing so, Klarna opens its operations to a broader pool of institutional participants seeking USDC-denominated investments.

Klarna’s Broader Crypto Strategy

Klarna has increased its involvement in the digital asset space after previously staying out of crypto markets. 

In late November, the company launched its own stablecoin, KlarnaUSD, on a blockchain supported by Stripe and Paradigm. 

This initiative reflects Klarna’s ongoing commitment to exploring blockchain-based financial solutions for institutional and consumer audiences.

Earlier this month the company announced a partnership with crypto wallet developer Privy, owned by Stripe, to develop additional crypto services for its users. 

These initiatives align with Klarna’s goal to integrate stablecoins and digital payments into its broader BNPL ecosystem. Updates from Klarna emphasized the growing pace of crypto integration, signaling continued activity into 2026.

Industry observers note that fintech firms increasingly experiment with stablecoins to provide more efficient payment and funding channels. 

Klarna’s adoption of USDC funding for institutional investors illustrates the practical applications of digital assets in traditional finance. 

By diversifying its funding strategy, Klarna positions itself to access new forms of capital alongside existing financial instruments.