Coinbase unveils Onchain Payment Protocol to simplify crypto transactions By  |  Editor Ambhini Aishwarya

Published Nov 17, 2023 01:07AM ET

In a significant move to streamline cryptocurrency transactions and address the challenges of volatility, Coinbase (NASDAQ:COIN) has introduced its innovative Onchain Payment Protocol. This open-source solution is designed to offer instant settlements, lower fees, and expanded asset support, with the goal of transforming online payments in a manner comparable to how the internet revolutionized access to information.

The protocol, launched on Thursday, is integrated into Coinbase’s Commerce product and targets global merchants by simplifying the payment process. It enables a single setup for merchants and allows for seamless integration with popular e-commerce platforms such as WooCommerce, Primer, and Jumpseller. The new system promises to deliver volatility-free payments through automatic conversion of cryptocurrencies into USD Coin (USDC), ensuring stable transaction values despite market fluctuations.

Key benefits of the Onchain Payment Protocol include:

  • Low transaction fees and instant settlements in a variety of cryptocurrencies.
  • Real-time transaction validation for Coinbase’s verified users, enhancing the overall user experience.
  • Support for multiple currencies on Base, Ethereum, and Polygon networks, with plans to expand to Solana (SOL) and Avalanche (AVAX) perpetual futures contracts for US retail traders.

The protocol addresses common pain points in the crypto payment process by reducing decline rates and chargeback risks. It guarantees error-free payments and offers flexible payment options that aim to make the checkout process effortless for customers while providing instant payment confirmation.

By facilitating billions in on-chain payments, Coinbase’s new protocol is poised to make it easier for thousands of merchants around the world to integrate cryptocurrency into their businesses. This initiative reflects the company’s commitment to fostering an ecosystem where digital currency can be used as conveniently and efficiently as traditional money.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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