It seems that San Francisco-based cryptocurrency exchange Coinbase decided to expand into a new market. On Wednesday they announced developing of a new service that will make the adoption of crpytos as payment for services and goods, easier and more acceptable to merchands.
Coinbase Commerce is already ready for merchants to use in a way to accept Bitcoin, Bitcoin Cash, Ethereum and Litecoin payments.
As they said in their announcement, this is a new service that enables merchants to accept multiple cryptocurrencies directly into a user-controlled wallet. Their mission is to create an open financial system and this is their solution to serve merchants worldwide.
This, however, is not a hosted service, so merchants have full control of their own digital currency. It can be directly integrated into a merchant’s checkout flow or added as a payment option on an e-commerce platform. Merchants can sign up and begin accepting payments in Bitcoin, Bitcoin Cash, Ethereum and Litecoin with the an email address and phone.
Coinbase Commerce had been already integrated with Shopify, one of the largest multi-channel commerce platforms, boasting more than 500,000 merchants with a total gross merchandise volume exceeding $45 billion. They also noted that they are actively been adding more integrations to make accepting cryptocurrency easier.
However, even though in can be explained as a “Paypal for cryptos”, it seems to be more of a Bitpay’s competitor.
Just for a reminder, Bitpay has been the largest player in this sector for a while now. It looks that Coinbase, whose revenues exceeded $1 billion last year, might be the best placed company to ruin that, especially when Paypal has said to be pretty slow to facilitate transactions in Bitcoin and other virtual currencies representing a growing gap in their product line.
Coinbase didn’t immediately detail transaction fees or transaction times for Coinbase Commerce. Other merchants already taking cryptocurrencies are Overstock.com, Expedia Inc. and Microsoft Corp.