Coinbase Expands Its Payments Game with Big Plans and Acquisitions
Hey FinTech Fanatic!
Coinbase is doubling down on payments with plans to grow through acquisitions and new revenue streams. The US's top crypto exchange recently snapped up Utopia Labs, a payments startup, and might pursue more deals to supercharge its offerings, says Shan Aggarwal, VP of Corporate Development at Coinbase.
One focus? Charging for premium features in Coinbase Wallet, like subscription-based tools, to enhance its payments ecosystem.
Coinbase’s edge lies in stablecoins, which enable nearly instant, ultra-cheap global transfers—costing less than a cent and taking under a second. Compare that to traditional transfers, which can cost up to 15% of the amount and take days. “Legacy payment systems aren’t cutting it,” Aggarwal says.
The company’s Base blockchain, launched in August 2023, is central to this vision. They’re also teaming up with major players like PayPal to test crypto-powered payments for businesses.
For everyday users, Coinbase is crafting an "everything app," combining crypto trading, holding, and payments. CEO Brian Armstrong dreams big, aiming for 20% of global GDP to run on crypto rails: faster, cheaper, and more inclusive.
With stablecoins gaining traction worldwide—especially in Europe with clearer regulations—Coinbase is watching the market closely. Though not launching its own stablecoin yet, Aggarwal teases that “it’s always a possibility.”
What’s your take on Coinbase’s payments push? Let me know your thoughts in the comments!
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