Shopify rolling out USDC payments via Coinbase’s Base network

Shopify has begun an early rollout of USDC stablecoin payments through Coinbase’s Base network, marking a major shift in how merchants and customers can transact across borders. In collaboration with Coinbase and Stripe, the e-commerce giant is making it easier for global merchants to accept digital currency through existing Shopify payment and checkout flows. Select merchants to begin accepting USDC Shopify has started by launching an early access program that allows select merchants to begin accepting USDC, a stablecoin backed one-to-one by the US dollar, using the Base layer-2 blockchain network developed by Coinbase. This feature allows merchants to receive payments in USDC directly or opt for local currency settlements without incurring any foreign exchange or transaction fees. On the other hand, customers can pay using hundreds of supported crypto wallets through Shop Pay or even during guest checkout, streamlining the payment experience across borders. Shopify has emphasised that this new system does not require any additional integrations or third-party gateways, enabling merchants to operate as they normally would while offering more flexibility to their customers. Why Shopify chose Base for the USDC transactions The decision to build on Base was a strategic one, as the network offers fast, low-cost, and secure on-chain transactions that are globally accessible. According to Coinbase, Base is now the fourth-largest blockchain for USDC, with about 6% of the total $61 billion supply issued on the network. Shopify described Base as an “ultra-fast and affordable” solution, positioning it as an on-chain equivalent of credit card networks for digital payments. By leveraging this infrastructure, Shopify believes it can offer a payment system that is both technologically robust and designed for real-world commerce scenarios. Shopify and Coinbase have developed a specialised smart contract To power this integration, Shopify worked with Coinbase to develop a specialised smart contract that replicates credit card-style payment flexibility on the blockchain. This new contract introduces an “authorise now, capture later” feature, ensuring that merchants retain control over inventory and tax finalisation before completing a transaction. Such innovation is essential for handling the complexities of modern e-commerce, especially during time-sensitive sales like flash events or product launches. Shopify’s Help Centre notes that while crypto payments can introduce settlement delays, using direct methods like Shopify Payments, now integrated with USDC, provides merchants better performance and control. Stripe has played a crucial role in enabling this functionality through its Stripe Connect platform, which helps merchants in 34 countries start accepting USDC payments in the coming weeks. According to Stripe’s Head of Money Movement in Crypto, Neetika Bansal, this partnership will open up access to global markets while reducing costs for businesses of all sizes. Stripe’s support ensures that Shopify merchants can embrace crypto payments without changing their existing workflows or systems, making adoption as seamless as possible. This approach reinforces Shopify’s mission to empower small and large merchants alike to transact globally with minimal friction. The post Shopify rolling out USDC payments via Coinbase’s Base network appeared first on Invezz

Source: Invezz