In a statement Visa Inc said, it has agreed to acquire privately held fintech startup Plaid Inc for $5.3 billion. The deal will increase Visa’s footprint in the booming fintech space.

The deal underscores how traditional financial companies are willing to pay top dollar to acquire businesses which have established strong positions in the cashless economy.

Plaid’s technology allows consumers to link their bank accounts to mobile apps such as Acorns, Venmo, and Chime.

According to the San Francisco-based fintech startup, its systems have been used by one in four people who have a U.S. bank account.

Plaid’s $5.3 billion valuation is double of that of its earlier reported valuation during its last $250 million Series C funding round in December 2018. Visa and rival Mastercard Inc were investors in that round.

“Plaid is a leader in the fast growing fintech world,” said Al Kelly, Visa’s Chairman and CEO in a statement. “The acquisition, combined with our many fintech efforts already underway, will position Visa to deliver even more value for developers, financial institutions and consumers.”

Visa expects the deal to close in the next three to six months. It expects its earnings per share to benefit from the deal at the end of the third year.

In a statement Visa said, it will fund the deal using cash on hand as well as debt which it will take on at a later date.

The acquisition will not impact Visa’s previously announced stock buyback or dividend plans.