As startups such as Square and Stripe continue to make inroads into the world of payments, PayPal has reacted by purchasing iZettle - seen as one of the top players in the industry in Europe - for $2.2B, making this PayPal's largest acquisition to date.

This follows iZettle's announcement earlier this month that it was intending to file for an IPO that would have valued the company at around $1B. 

As competition continues to hot up in this space, we would not be surprised if further consolidation occurs, particularly as the larger, more established players look to retain their advantage in the face of continued pressure from start ups looking to do things differently.