Coinbase, a major American cryptocurrency exchange, is offering a new service to their customers. On March 28, a Coinbase spokeperson announced that Coinbase has expanded into cross-border payments. Therefore, Coinbase users can now transfer money to any part of the world instantly.
All that the beneficiary needs is a Coinbase account, and the payment will be done without any fee. Otherwise, Coinbase will charge “a nominal on-chain network fee for sending outside of Coinbase.” The transfer will be performed using Ripple (XRP) and Coinbase’s cryptocurrency stablecoin USDCoin (USDC).
Coinbase explains this new service on their website: “You can now send money to any user with a Coinbase account around the world using XRP or USDC. By using cryptocurrencies that are optimized for cross-border transmission, you can send and receive money virtually instantly by sending those cryptocurrencies and having the recipient convert them into local currency.”
However, Coinbase clarifies that what is being offered “is not a money remittance; rather, it is a cryptocurrency transaction with conversion into local currency after receipt.”
This development is added to other ones we have witnessed during March this year. For instance, Coinbase introduced a service that links user accounts on its main platform to its Coinbase Wallet app. Moreover, Coinbase unveiled a new market structure for Coinbase Pro, which is Coinbase’s professional trading platform.