Coinbase and Stripe are on a collaboration cycle to provide users with double benefits in a bid to expand the adoption of cryptocurrency in the global space. This combination will surely benefit the users with a faster rate of crypto transactions at a comparatively low cost of adoption.
The move will also help Stripe improve its presence in over 150 countries and territories where the respective governments are currently viewing the onset of Stripe transactions with suspicion.
As Coinbase authorities said this collaboration aims to serve people and businesses across the globe.
With this collaboration, Stripe will add USDC on Base to the fiat-to-crypto onramp payment solutions, and Coinbase will add this fiat-to-crypto onramp to the wallet to facilitate easy exchange of fiat currencies and cryptocurrencies.
This collaboration will make use of the low cost and high speed of Base transactions to make the new entity a secure and developer-friendly infrastructure.
This announcement is a harbinger of Stripe’s return to the crypto payments market after it stopped business on cryptocurrencies in 2018.
Stripe’s policy change is aimed at leveraging the increasing demand for cryptocurrencies all over the world.
Earlier, Stripe only had Bitcoins on board, but now, there is a list of profitable altcoins to choose from. John Collinson, the co-founder of Stripe believes that reinstating crypto payments in Stripe at this juncture will enhance the credibility of the network when cryptocurrencies have finally found their real utility.
The general market is also positive towards this collaborative venture between Coinbase and Stripe. Market analysts are of the opinion that this announcement will have come at the right time to enhance the efficiency of businesses all over the world.
Coinbase is currently venturing into expanding its revenue sources to accommodate the increasing digital payments architecture.
How will the Collaboration between Coinbase and Stripe benefit Businesses all over the World?
The partnership between Coinbase and Stripe is aimed at making cryptocurrencies more accessible to the common people and those who are outside the traditional financial network.
This partnership will integrate the variety in the number of available cryptocurrencies on Coinbase and also Stripe’s powerful payment processing expertise to improve the scenario for individuals and businesses alike.
The technology behind the working of these payments infrastructure will be enhanced to make the whole process foolproof.
Merchants can now encourage their customers to use digital payments more as the increased accessibility and reduced hassles will improve their efficiency and satisfaction as customers.
The way the collaboration will ensure the security of the payment services to rekindle the trust of millions of people is worth mentioning.
Coinbase and Stripe’s combined efforts in improving this new entity’s credibility are a reassurance to buyers and sellers of cryptocurrencies.
Stripe’s global presence across continents will also help spread the word about cryptocurrencies in the unbanked regions of the world.
The cross-border crypto transactions will now be easier with reduced processing time, reduced use of infrastructure, and reduced transaction costs.
Some Details about Stripe and Coinbase
Stripe is an Irish-American collaborative enterprise that provides payment solutions to all parts of the world. It has a large volume of payments processed at over $1 trillion.
Stripe provides an Application Programming Interface (API) for different people and websites that they can use to make payments as per various use cases.
Coinbase is a cryptocurrency exchange that lists various cryptocurrencies for trade. This American-based exchange has been pivotal in initiating cryptocurrency transactions across the world.
Cinbase has registered users and crypto trade between them gives credibility to the platform over other platforms that use anonymous transactions.
The Bottom Line
In the wake of the announcement of collaboration between Coinbase and Stripe to aid cryptocurrency transactions, the decentralized finance sector is all set to make giant strides. The news has already started creating positive vibrations in the market.
The revamping of the global cryptocurrency payment system with this collaboration will surely aid in the widespread adoption of cryptocurrency by governments that are currently slightly averse to digital currencies.
Taking into account the ease of use and lower costs that this collaborative effort is set to bring, the cryptocurrency market will soon expand to the currently unbanked areas too.
