Coinbase Enters Consumer Market with Stablecoin-Powered ‘All-in-One’ App Expanding Beyond Trading Services
In an unveiling event on Wednesday, Coinbase revealed its ambitious initiative, the “Base App,” a multifunctional platform aiming to bridge the gap between traditional finance and cryptocurrency, thereby expanding the crypto economy.
The Base App represents an evolution from the Coinbase Wallet, seamlessly integrating wallet, trading, payment functionalities, social media, messaging, and support for mini-apps, all operating on Coinbase’s homegrown public blockchain network, Base. Built upon Ethereum, this innovative blockchain network aims to replicate the success of super apps like WeChat and Alipay in the Western market.
The Base App is strategically designed to broaden Coinbase’s consumer base, targeting individuals who may not have a significant interest in crypto trading, thus diversifying the company’s revenue streams beyond speculative trading. The Base blockchain is seen as a means to foster utility in cryptocurrency beyond mere trading.
Accompanying the launch of the Base App, Coinbase introduced two key functionalities: Base Account, an identity verification system, and Base Pay, an express checkout system for payments using the Circle-issued USDC stablecoin. Base Pay is a one-click checkout feature across the web, developed in collaboration with Shopify, with plans to extend it to brick-and-mortar stores via tap-to-pay support by year’s end.
Shopify has activated this feature for tens of thousands of its merchants and aims to roll it out to all merchants by the end of the year. Additionally, Shopify will offer 1% cash back in the U.S. for users who pay with USDC on Base later this year.
Previously, enthusiasm around the Base network has primarily been centered among developers and builders. Notably, JPMorgan recently announced the launch of a deposit token on the Base blockchain. The network is renowned for its capacity to settle payments in under a second for less than a cent, a feature that enthusiasts believe will drive its growth beyond other crypto-based payment systems.
With the introduction of the everything app, Coinbase highlights the potential for a novel economic model for content creators, offering them direct and diverse monetization options for their content, as well as control over their identity and data. In an effort to attract more users onto the blockchain, Coinbase will fund creator rewards and waive USDC transaction fees within chats in the app.
The launch of this consumer-focused app coincides with a surge in product launches and rollouts in the crypto industry, driven by the pro-crypto policies of the Trump administration and anticipated clearer regulations from Congress—possibly as early as this week. Last month saw the launch of Coinbase’s first credit card in partnership with American Express, and Shopify rolled out USDC-powered payments through Coinbase and Stripe.
Coinbase CEO Brian Armstrong has expressed aspirations for USDC to become the world’s leading stablecoin, currently held by Tether’s USDT, and aims to position Coinbase as “the number one financial services app in the world” within the next five to 10 years.
