Cryptocurrency trade Coinbase made waves this week with the launch of its new open-source Onchain Cost Protocol — geared toward enhancing the corporate’s Commerce product for retailers.
The San Francisco-based trade introduced the brand new protocol on Thursday, describing it as a strategy to allow “immediate settlement, low charges, and broad asset assist” for retailers utilizing its companies. Coinbase Commerce was first launched in 2018 as a platform for retailers to just accept cryptocurrency funds. Since then, the corporate says 1000’s of retailers globally have processed billions of {dollars} in on-chain funds.
Nevertheless, the volatility of cryptocurrencies and complex person experiences have remained limitations to broader adoption. Coinbase’s new open-source protocol appears to resolve these issues by routinely changing clients’ cryptocurrency funds into the favored stablecoin USDC, thus eliminating publicity to volatility. The protocol at the moment helps Ethereum, Polygon, and the Coinbase-incubated Base — with plans to broaden to extra networks quickly.
Retailers could profit from dramatically decrease fee processing charges by accepting cryptocurrency immediately somewhat than conventional bank card funds. The open-source nature of the protocol additionally opens the door for different platforms to combine and construct on prime of Coinbase’s infrastructure.
The launch comes as Coinbase pushes ahead with growing its personal Layer 2 community, Base, to seize market share within the scorching DeFi house.
Photograph by David McBee.
