Startups > Stronghold

Stronghold

Stronghold bridges traditional and blockchain payments for regulated industries.

Venture Round $3.3M total Founded 2017 San Francisco, California

Stronghold creates virtual payment networks that instantly settle transactions and enable interoperability between legacy banking systems and blockchain-based payment rails. The platform offers card processing, ACH transfers, merchant financing, and checkout services, with the unique ability to bridge traditional and modern payment infrastructure. They specifically serve high-compliance industries like gambling and alcohol that struggle to access financial services, rewarding transaction volume with SHx tokens that offset fees.

Problem solved

Regulated industries and merchants face payment processor discrimination and lack access to modern payment rails that bridge traditional banking with blockchain networks.

Target customer

High-compliance businesses (gambling, alcohol, cannabis), fintech platforms, merchant networks, and financial institutions requiring instant cross-network settlement and regulatory flexibility.

Website LinkedIn Crunchbase

Founders

Tammy Camp

CEO & Co-Founder

Former Head of Growth at Stellar (grew network to 4M users in 2 months), partner at 500 Startups, advisor to Walmart, eBay, and Lloyds TSB; graduate of Singularity University and Georgia State University.

Sean Bennett

CTO & Co-Founder

Started building on Ripple in 2013, dropped out of med school in 2014 to build Stellar's first stablecoin after witnessing remittance challenges; holds Bachelor of Business from Massey University.

Funding history

Seed $3.3M July 2018 Led by Freestyle Capital (Dave Samuel) · Ron Suber, Frank Mastrangelo, Betsy Cohen, Randy Reddig (Square founding team), Dan Macklin (Bessemer Venture Partners), Jason Gardener (Marqeta founder), Arthur Steinmetz (former Oppenheimer CEO), Jake Gibson (NerdWallet founder), Rob Stavis (SoFi co-founder), RippleX

Total raised: $3.3M

Industries

Cryptocurrency Blockchain Developer APIs Financial Services FinTech Internet Payments

Pricing

Transaction-fee based model with SHx token rewards program. Integrated companies receive SHx tokens based on payment volume processed, which can be applied to offset transaction fees and other costs. Full pricing details not publicly available.

Notable customers

IBM, Lyft, Aduro Advisors, Commerce Ventures

Integrations

IBM World Wire Network, Stellar network, Ripple infrastructure

Website

linktr.ee/strongholdpay

Competitors

PayPal

Broader consumer and merchant payments platform; lacks specialized focus on high-compliance industries and blockchain interoperability.

Stripe

General-purpose payment processor for mainstream businesses; does not bridge blockchain and traditional rails or serve stigmatized industries.

PayU

Global payment processor focused on emerging markets; lacks blockchain integration and specialized compliance solutions for restricted industries.

Why this matters: Stronghold is one of the few fintech platforms bridging traditional regulated banking with blockchain infrastructure while serving merchants actively rejected by mainstream payment processors. Their focus on high-compliance industries combined with blockchain interoperability positions them at the intersection of fintech and DeFi.

Best for: Regulated businesses in high-compliance sectors (gambling, alcohol, cannabis) that need instant payment settlement across traditional banking and blockchain networks without payment processor discrimination.

Use cases

Instant Cross-Border Remittances

Financial institutions use Stronghold USD to enable instant US Dollar settlement for international transfers, reducing friction and cost compared to traditional correspondent banking. IBM World Wire Network participants leverage this for faster money movement across borders.

ACH-to-Blockchain Payments

Retail merchants integrate Stronghold Direct to accept ACH transfers directly from customer bank accounts without credit card fees. Customers pay with their bank account, merchants receive settlement instantly, and both earn SHx rewards to reduce costs.

Compliant Merchant Financing

High-risk merchants (gambling, alcohol) access working capital through Stronghold's merchant financing program, funded by DeFi protocols but wrapped in regulatory compliance frameworks that traditional lenders refuse to serve.

Alternatives

Stripe Better for mainstream e-commerce; Stronghold is superior for high-compliance industries and blockchain integration.

PayPal Broader adoption and consumer reach; Stronghold excels in underserved regulated sectors with blockchain interoperability.

Ripple Enterprise blockchain settlement layer; Stronghold offers a broader fintech platform with merchant services and consumer-facing payment tools.

FAQ

What does Stronghold do? +

Stronghold creates virtual payment networks that bridge traditional banking systems and blockchain infrastructure, enabling instant settlement and interoperability. They offer card processing, ACH payments, merchant financing, and checkout services, with specialized support for high-compliance industries like gambling and alcohol.

How much does Stronghold cost? +

Stronghold uses a transaction-fee based model with SHx token rewards. Specific pricing is not publicly available; businesses earn SHx tokens based on payment volume that offset fees. Contact their sales team for detailed pricing.

What are alternatives to Stronghold? +

Stripe and PayPal are general payment processors but lack blockchain integration and compliance support for regulated industries. Ripple provides enterprise blockchain settlement. Choose Stronghold if you need both traditional and blockchain payments in a high-compliance sector.

Who uses Stronghold? +

High-compliance industries (gambling, alcohol, cannabis), fintech platforms, merchant networks, and financial institutions. Notable customers include IBM, Lyft, Aduro Advisors, and Commerce Ventures.

How does Stronghold compare to Stripe? +

Stripe dominates mainstream e-commerce but avoids high-risk merchant categories. Stronghold specifically serves stigmatized industries and bridges blockchain rails, making it ideal for merchants traditional processors won't serve. Stripe excels for conventional businesses needing standard payment processing.