Coinbase has launched Coinbase Payments, a new platform designed to facilitate the use of stablecoins as a method of payment for online transactions.
The platform is aimed at online marketplaces such as Shopify and eBay, which provide access to small-to-medium sized businesses seeking alternatives to traditional card payment fees.
The first platform to integrate Coinbase Payments is Shopify, which recently forged partnership with Coinbase and Stripe.
The collaboration enables Shopify merchants to accept the stablecoin USDC, which will be processed through Coinbase’s Base network, a Layer 2 blockchain solution built on Ethereum.
Coinbase Payments offers e-commerce platforms benefits such as quicker settlement times, lower transaction fees, and access to a global customer base.
The service includes a checkout suite that facilitates payments from various crypto wallets, including Coinbase Wallet, MetaMask, and Phantom.
Additionally, it provides a connectivity layer for merchants and payment service providers to authorise transactions, process refunds, and manage subscriptions.
The platform also features a payments protocol that assists merchants in carrying out blockchain-based transactions.
The product suite is designed to simplify the integration of stablecoin payments for merchants and online platforms, eliminating the need for blockchain or cryptocurrency technologies expertise.
In a statement, Coinbase spokesperson said: “We built the new system to mimic credit-card rails so it slots into existing flows with zero disruption.”
Last month, Coinbase also introduced x402, a new payment protocol that enables instant stablecoin payments over HTTP.
This protocol is an open standard that repurposes the HTTP “402 Payment Required” status code to incorporate stablecoin payments into web-based interactions, with the potential to change transaction processes for APIs, applications, and AI agents in the internet economy.
Read more on Electronic Payments International
