Coinbase Unveils x402, a New Payment Protocol That Allows for Instant Stablecoin Payments

This move aims to transform the way APIs, applications, and AI agents conduct transactions in an automated internet economy.

Coinbase has unveiled x402, a new payment protocol that enables instant stablecoin payments directly over HTTP for an automated internet economy.

This move aims to transform the way APIs, applications, and AI agents conduct transactions.

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x402 is an open standard that puts stablecoin payments directly into web interactions by revitalising the original HTTP “402 Payment Required” status code.

This allows developers and AI agents to pay for services and software with stablecoins over HTTP to simplify the payment process.

With a few lines of code, x402 provides built-in authentication, automatic settlement, and integration into the existing web infrastructure.

It also enables instant monetisation and autonomous transactions, allowing businesses and agents to exchange value as they exchange data.

The launch of x402 is supported by collaborators such as AWS, Anthropic, Circle, and NEAR.

The workflow includes the client initiating requests for access to a resource, the server issues a 402 Payment Required response, the client sends a signed payment, and upon verification by a payment facilitator like the Coinbase x402 Facilitator service, the server delivers the requested data.

Developers can use services such as the Coinbase x402 Facilitator to easily integrate stablecoin payments into their offerings with minimal coding.

This capability grants AI systems the ability to perform real-time, autonomous transactions, facilitating "scenarios" such as autonomous cloud compute, market intelligence, prediction markets, and AI-driven creative tools.

Coinbase Developer Platform engineering head Erik Reppel said: "We built x402 because the internet has always needed a native way to send and receive payments—and stablecoins finally make that possible. Just like HTTPS secured the web, x402 could define the next era of the internet; one where value moves as freely and instantly as information. We’re laying the groundwork for an economy run not just by people, but by software—autonomous, intelligent, and always on.”

Last month, Coinbase expanded partnership with PayPal, enabling users to buy, sell, and trade PYUSD without platform fees to promote the adoption of the PayPal USD (PYUSD) stablecoin.