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Coinbase and Marqeta are expanding their six-year partnership to let businesses offer payment cards funded directly by customers' stablecoin holdings. Under the arrangement, Coinbase will custody the stablecoins and handle conversions between digital and traditional currencies, while Marqeta manages card issuance and payment processing. Settlement infrastructure runs on Coinbase's Base blockchain.
Why it matters
The partnership effectively packages the full stablecoin-to-card stack into a single commercial offering for Marqeta's existing business customers, which span both crypto-native and traditional companies. Cardholders gain the ability to spend stablecoins at the "millions of merchants" that accept card payments, while businesses can fund card programs around the clock. "Coinbase is enabling businesses to move money with the speed and efficiency they require," said Alec Lovett, Head of Infrastructure Products at Coinbase. "Our collaboration with Marqeta will combine our stablecoin payment rails with their powerful issuing and processing capabilities to deliver real-time global transactions."
Market impact
The two companies have prior history: Marqeta has powered Coinbase's own U.S. debit card since October 2020, which already supported USDC spending and crypto rewards. This new layer extends that infrastructure outward to Marqeta's broader client base. Fees, a launch date, and the initial list of supported stablecoins were not disclosed in the announcement.
Frequently asked questions
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How does the Coinbase-Marqeta stablecoin card actually work for cardholders?
Coinbase holds the customer's stablecoins and converts them to traditional currency at the point of sale, while Marqeta processes the card transaction. Cardholders can spend at any merchant that accepts standard payment cards.
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Which blockchain handles settlement for the new stablecoin card program?
Coinbase's Base blockchain provides the onchain settlement infrastructure for the partnership, giving the payment stack a crypto-native settlement layer beneath the traditional card rails.
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What stablecoins will be supported when the card program launches?
The announcement did not specify which stablecoins will be supported at launch. USDC has been part of Coinbase's existing Marqeta-powered debit card since 2020, but no confirmed list for the new program was disclosed.
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Who are the target customers for this new stablecoin card offering?
The service is aimed at Marqeta's business customers, which include both crypto-native companies and traditional businesses looking to offer card programs funded by stablecoin balances.
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What is the history between Coinbase and Marqeta before this expansion?
Marqeta has powered Coinbase's U.S. debit card since October 2020, enabling customers to spend crypto including USDC and earn crypto rewards. The new deal extends that infrastructure to Marqeta's broader client base.
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