Coinbase has introduced “Payments MCP,” a new system that enables large language models, such as Claude, Gemini, and other AI agents, to perform wallet operations, fiat on-ramps, and stablecoin payments through natural language commands. As announced through a press release from the US-based crypto trading platform on Wednesday, the launch follows the establishment of the x402 Foundation, a joint initiative between Coinbase and CloudFlare to standardize AI-driven payment systems. Payments MCP provides AI models with the same blockchain-based tools available to human users, including wallets, transaction services, and stablecoin transfers. Dan Kim, Coinbase’s vice president of business development and listings, and Erik Reppel, head of engineering for the Coinbase Developer Platform, said the system enables AI agents to engage in “agentic commerce.” In their announcement, they described stablecoins as “the ideal payment infrastructure for agentic commerce.” Coinbase: How the Model Context Protocol works An MCP, short for Model Context Protocol, allows AI models to securely access external tools and services. This is not to be confused with MPC, which refers to multiparty computation in cryptography, because MCP helps AI agents interact safely with third-party applications. The company explained that the protocol was made with simplicity and accessibility in mind, enabling anyone to experiment with onchain interactions through AI. Users can create a wallet and sign in using just an email address, with no developer setup or API keys required. Payments MCP also includes a graphical interface where Coinbase accounts can configure their AI agent, set spending limits, and manage transactions without necessarily coding. The platform integrates an x402 Bazaar Explorer to help traders discover and connect to APIs, as well as built-in fiat on-ramps and guest checkout features, in supported regions. Coinbase stated that Payments MCP has been tested on several AI platforms, including Claude Desktop, Claude Code, Codex, Gemini, and Cherry Studio. Coinbase launches Bitcoin rewards Amex One card for US members Earlier this week, the publicly listed crypto exchange announced the launch of the Coinbase One Card in the United States, now available to customers who subscribe to Coinbase One in the US through a membership service priced at $49.99 per year. Coinbase’s head of consumer and business products, Max Branzburg, first unveiled the product on X, saying that the card offers up to 4% cashback in bitcoin on purchases. The card has no foreign transaction fees and allows customers to pay their balance from a linked bank account or with crypto held on Coinbase. “Spend dollars, get Bitcoin. The Coinbase One Card is fully live in the US! You can apply now to get one. It’s the best looking card with the best rewards; it might make sense to get one in case it catches on,” CEO Brian Armstrong wrote on his official X account. According to Coinbase, bitcoin rewards earned through the card are not listed on IRS Form 1099 when received, though users may owe taxes if they later sell those rewards. The financial firm engraved the physical card with data from the Genesis Block, the first block mined by Satoshi Nakamoto on January 3, 2009. Crypto ‘Clarity Act’ regulation stalls in Congress US lawmakers are struggling to make progress on the comprehensive crypto market structure bill, “Clarity Act,” which hit a roadblock in the Senate after bipartisan negotiations between the Democrats and Republicans collapsed. Talks broke down after a liberal proposal for part of the legislation was leaked, creating a wedge between policymakers and industry groups, and halting discussions between Republicans and crypto-friendly Democrats. Lawmakers had hoped to clarify the jurisdictional roles of the Securities and Exchange Commission and the Commodity Futures Trading Commission, but the latest impasse has delayed progress once again. Several crypto executives and government representatives met late Wednesday at Capitol Hill to discuss additional regulatory proposals, with Coinbase CEO Armstrong stating that there was “strong bipartisan support that will get the market structure legislation done.” “I think that 90% of the issues are already aligned on and agreed, and there’s draft text going back and forth, a lot of great cross-functional collaboration happening. That last 10% are the remaining issues, and everyone is committed to getting the room together and working it out, and hopefully we’ll see some draft text or get it out of committee by Thanksgiving,” he reckoned. Want your project in front of crypto’s top minds? Feature it in our next industry report, where data meets impact.
