Coinbase reveals x402 protocol to enable on-chain payments via HTTP
The post Coinbase reveals x402 protocol to enable on-chain payments via HTTP appeared on BitcoinEthereumNews.com.
Coinbase unveiled an open-source protocol for on-chain payments via HTTP called x402. Announced on May 6, the system repurposes the previously unused HTTP 402 “Payment Required” status code to support direct machine-native payments using stablecoins. The protocol enables autonomous agents and applications to pay for API access, data, and services without relying on human intervention, subscriptions, or traditional payment infrastructures. Business models and use cases The core design of x402 enables a server to issue an HTTP 402 response with payment instructions when a client requests a paid resource. Upon receiving the payment requirement, the client, whether a human user or an autonomous agent, can initiate an on-chain transaction and retry the request with a signed payment. This architecture enables microtransactions for content access, context retrieval, and AI inference, making per-use monetization technically feasible and economically viable. x402 is currently available as an open standard with a reference implementation on Coinbase’s GitHub and developer site. According to the exchange, it will open the roadmap for community contributions and decentralized governance in upcoming iterations. The x402 design supports frictionless micropayments across various sectors. In practical terms, AI agents can pay for API access per call, monetize content per article or stream, and sell cloud computing resources by the second or gigabyte. The project’s white paper describes real-world use cases, including per-play gaming models, per-inference AI services, and per-article paywalls for publishers. The protocol also aims to simplify compliance and operational burdens by eliminating the need for PCI certification and exposure to chargebacks. Once confirmed on-chain, all transactions are final, and payment processing is entirely decentralized. Autonomous transactions According to the project’s white paper, x402 addresses long-standing inefficiencies in existing payment systems that rely on account-based setups, delayed settlement, and centralized control. Traditional payment methods such as ACH and credit cards introduce latency, chargeback…
Filed under: News - @ May 6, 2025 9:26 pm