Reported that the company's Stripe account was suspended due to just one user and the content sales platform stopped functioning in an instant



In February 2023, the online content sales platform `` Flurly '' reported that `` the account of the payment service Stripe used was suspended, and the entire platform ceased to function. The suspension of the Stripe account this time may not have been caused by Flurly as a whole, but by a single user.



Flurly has been shut down by Stripe
https://flurly.com/blog/flurly-stripe-shutdown

Flurly is a platform for selling digital content, allowing sellers to upload digital content and receive payment from customers who acquire the content.

According to JR (@TheBuilderJR) , who runs Flurly, all payments from customers were initially deposited into Flurly's Stripe account, and then sent to merchants via Stripe Connect , PayPal , and Payoneer . However, this method poses a high risk of legal liability for Flurly, so starting in 2022, Flurly will move to a direct billing model for Stripe Connect, where payments from customers are sent directly to the merchant's Stripe account. that's right.

However, many Flurly users were still using the old system, so JR continued to maintain the old system using Flurly's Stripe account. Then, in February 2023, Stripe sent Flurly an email asking for more information about possible illegal transactions on some accounts.

The screenshot below is an actual email sent by Stripe, asking what exactly Flurly is selling. 'We are suspending payments to Flurly's bank account until we can confirm what we are selling,' Stripe said in the email.



A few days later, I received an email from Stripe that suddenly suspended Flurly's Stripe account and imposed a fine of $ 425,000 (about 57 million yen). The email actually sent to Mr. JR is as follows. 'Card brands and Stripe's financial partners have regulations regarding goods and services that cannot be processed through their networks, and violations of these regulations can result in significant fines.' Stripe made efforts to provide refutation to the card brand, but it was found that your business was in violation of the rules, resulting in a loss of $425,000. You will be subject to a fine.” “The card network will fine you at a later date, so your account balance has been put on hold to cover future debits.” “Your Stripe account will be closed starting today, and we will We are unable to provide you with continued service.'



'I'm not sure what happened. My guess is that the site run by the user in question was acting as a front for some kind of illegal activity that violated Stripe and Flurly's terms of service,' JR said. I think it will be,” he said.

Flurly's Stripe account has been suspended, meaning that all but a few merchants using Stripe Connect are unable to receive payments made by their customers. Flurly's official page honestly states, 'Flurly is no longer a viable digital marketplace. It is in your best interest to find alternative providers.'

JR said, “Flurly is built entirely on Stripe and their actions effectively disabled the entire platform. I am very sorry that this has happened and that it has resulted in this.You guys gave me and Flurly a chance. I'm sorry to disappoint you.'

In addition, Mr. JR reported in a tweet on February 13 that Flurly's case seems to be taken up within Stripe and may be resolved in the near future. However, as of February 15th, Stripe hadn't responded positively and said the problem could be long-term.



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in Web Service, Posted by log1h_ik