Payments processing giant Stripe says it has raised $6.5 billion in a Series I funding round at a $50 billion valuation – down nearly 50% from two years ago.

According to a company statement, the funding "will be used to provide liquidity to current and former employees and address employee withholding tax obligations related to equity awards, resulting in the retirement of Stripe shares that will offset the issuance of new shares to Series I investors."

Stripe says it does not need the capital to run its business.

📊 Stripe’s valuation drops, while Bytedance, SpaceX, and SHEIN rise in the top 5 unicorn race
Digital payments firm Stripe has cut the internal value of its shares by about 11%, implying a 40% valuation cut to $63 billion in six months, The Information reported on Wednesday. Valued at $95 billion following a $600 million funding round in 2021, this is at least the third time

The new valuation marked a steep decline for the payment giant previously valued at $95 billion at its peak in 2021. The payment firm has continued to slash its internal valuation no less than 4 times since June 2022, adding up to an almost 50%.

Its closest publicly traded peers, PayPal and Square, are also down this year. Shares for both companies have gone down more than 30% from last March.

Investors in the round include existing shareholders Andreessen Horowitz, Thrive Capital which committed $1 billion to the raise in February this year and the Founders Fund. New investors including GIC, Goldman Sachs Asset and Wealth Management and Temasek joined this round.