Jefferies suggests Shopify's strategy to secure money transmitter licenses across the United States could significantly boost future profitability. The report projects this initiative could increase gross profit by approximately 2%. It could also increase operating income by 5% by 2028.
The licenses would allow Shopify to manage merchant funds directly for services like Shopify Balance and Shop Pay. This reduces reliance on third-party partners such as Stripe. Shopify's payment processing still utilizes partners. Obtaining these licenses is a key step toward building its own financial services infrastructure. This move marks a strategic evolution for its Merchant Solutions division.