Sequoia Capital has reversed an earlier decision not to invest in Whop, leading the business platform’s Series D at a $5.1 billion valuation. Whop said the round totaled $200 million, while a Bloomberg report republished by Investing.com put it at $205 million; Shopify Ventures also participated.
Whop gives operators one place to create a digital storefront, accept card and bank payments, invoice customers and automate parts of service delivery. Sellers can also buy ads that run inside Whop or across outside platforms, keeping sales, promotion and payment collection in the same system.
The business earns most of its revenue by taking a share of transactions processed for those operators, according to the Bloomberg account republished by Investing.com. CEO Steven Schwartz put the blended average fee at 6%; Whop’s posted base price for a successful domestic card payment is 2.7% plus $0.30, with optional billing, tax and payment-routing tools carrying additional charges.
Whop says roughly 25,000 operators collectively generate $550 million on the platform each month. Its Business Blueprints tool lets operators launch ready-to-sell businesses, while Economic Intelligence recommends next steps and charges an additional percentage of revenue earned through the system.
The latest financing follows Tether’s $200 million strategic investment in February, which Whop said carried a $1.6 billion valuation. Neither Whop announcement specified whether its valuation was pre-money or post-money, so the two figures are markers rather than a strictly comparable step-up.
Doug Leone said Sequoia returned after seeing businesses on Whop grow, spread across more categories and persist instead of churning, according to the republished Bloomberg account. He joined Whop’s board as part of the round.