Coinbase and Stripe Strengthen Strategic Collaboration to Expand USDC on Layer 2 Base

Key Points:

• Coinbase and Stripe collaborate to integrate USDC, enhancing crypto payment options globally.
• Users can now buy USDC instantly with credit cards and Apple Pay via Coinbase Wallet.

Coinbase and Stripe have announced a strategic partnership aimed at enhancing cryptocurrency payment options and accessibility.

Coinbase and Stripe Partner to Boost Crypto Payments with USDC Integration

As part of the collaboration, Stripe will integrate USDC, a stablecoin pegged to the US dollar, into its crypto payment products and fiat-to-crypto onramp services. The integration will facilitate faster and more cost-effective fund transfers across Stripe’s global network, benefitting users in over 150 countries.

Additionally, Stripe’s USDC support will extend to Base, its fiat-to-crypto on-ramp platform, which will in turn be integrated into Coinbase Wallet.

Coinbase’s Base blockchain, launched in February and powered by Ethereum’s Layer 2 technology, has gained traction in the decentralized finance (DeFi) space, with significant total value locked exceeding $2 billion. The blockchain’s recent software upgrades have further fueled its growth, facilitating a surge in memecoin activity.

Stablecoin Adoption Gains Momentum in Fintech

The partnership of Coinbase and Stripe marks a significant move for the payment company to re-enter the cryptocurrency space, following their previous acceptance of Bitcoin payments until 2018. The decision to adopt stablecoins like USDC underscores their utility in providing a reliable digital equivalent of traditional currencies.

For Coinbase, integrating Stripe’s fiat-to-crypto conversion channel into its wallet enhances user convenience, enabling swift cryptocurrency purchases directly via credit cards and Apple Pay.

USDC, issued by Circle Internet Financial Ltd., has seen increased transaction volume, surpassing Tether this year as reported by Visa Inc. USDC is currently still the 2nd most capitalized stablecoin after USDT.