Why does ko-fi connect to stripe when stripe doesn't allow crowdfunding?

Question

How can "tip jar" apps such as ko-fi, github sponsors and thanks.dev suggest sending payouts to stripe when stripe explicitly disallows "crowdfunding and donation-related activities" on its website? https://stripe.com/legal/restricted-businesses There was an [Ask HN thread](https://news.ycombinator.com/item?id=40513782) recently where someone complained about having been kicked off stripe. It was pointed out that stripe's website clearly lists "crowdfunding and donation-related activities" as banned, and it was suggest that the OP use ko-fi or a similar service.I recently suffered the same fate as the OP in this thread. I have been receiving donations for my research via a donation page on my website, which uses stripe. Stripe banned me. If I switch to using ko-fi and payouts are still sent to stripe, then how is this different from stripe's perspective?

leros · Accepted Answer

BuyMeACoffee also connects to Stripe directly.I'm guessing Stripe has just vetted Ko-Fi and BuyMeACoffee and are ok with their business models vs individuals doing crowd funding.

dc_rog · Answer

Crowdfunding and donations are very high risk for fraud and money laundering activities. These approved platforms likely do some type of risk mitigation that Stripe is comfortable with when processing the transactions and take on some of the fraud and chargeback risk.*Not affiliated with any so this is an educated guess.