Major US crypto exchange Coinbase has partnered with payments firm Stripe that will see the latter add support for layer 2 network Base across its existing product suite.
In a Thursday announcement, Coinbase said the partnership would facilitate three key integrations: support for USDC on Base to Stripe’s crypto payouts product, USDC on Base to Stripe’s fiat-to-crypto onramp and the addition of Stipe’s fiat-to-crypto onramp to the Coinbase Wallet.
“By adding support for Base, Stripe’s vast global network of users will have access to faster and cheaper money transfers,” said Jesse Pollak, the creator of Base, in the announcement.
“These three key integrations lay a strong foundation for Stripe and Coinbase to begin building a better payments future for users around the world.”
Base’s monthly active addresses is on track to soar 56% to 6.18 million from May to June, nearing three-quarters the number of Coinbase’s monthly transacting users. Since the network’s public mainnet launch in August 2023, it has amassed over $7 billion in total value locked (TVL) to become the second largest layer 2 network at the time of writing.
Earlier this year, Coinbase’s head of product Max Branzburg said the company plans to store more of its corporate and customer USDC balances on to Base to secure funds with lower fees and settlement times.
Industry watchers believe that the growing layer 2 could eventually become a significant contributor to Coinbase’s top line revenue growth.
Despite being one of the first payment firms to support bitcoin payments in 2014, Stripe dropped it four years later, saying that it had “become less useful for payments” because of rising transaction times and transaction failure rates.
At the time the firm said it was “very optimistic about cryptocurrencies overall” and could imagine enabling support in the future.
In April, the company enabled support for businesses using Stripe to accept payments from customers using stablecoins.
