Marqeta and Coinbase Expand Partnership to Launch Stablecoin Payment Cards

Background of the Partnership Expansion and Overview of New Services

Marqeta, a leading card issuing platform in the United States, and Coinbase, a major regulated cryptocurrency exchange, have announced an expansion of their partnership.

With this collaboration, Marqeta's customer companies (both cryptocurrency-native and non-cryptocurrency businesses) will be able to issue and provide "stablecoin-backed cards" linked to end-users' stablecoin balances.

Cardholders will be able to use their digital assets directly for everyday payments across millions of existing merchant networks worldwide without having to manually convert them to fiat currency in advance. Furthermore, companies will be able to fund their card programs in real-time, 24/7, without being restricted by traditional banking hours, significantly enhancing the flexibility of global payment deployment.

Clear Role Distribution Between Coinbase and Marqeta

In this strengthened partnership, both companies have clear roles that leverage their respective strengths.

Role of Coinbase
Coinbase oversees the custody of stablecoin balances and the smooth conversion between digital assets and fiat currency. By utilizing its L2 (Layer 2) blockchain, Base, as the underlying infrastructure, it enables fast, secure, and low-cost on-chain payments.

Role of Marqeta
Marqeta is responsible for card issuance processing, operating the debit and credit card infrastructure, and managing relationships with banking partners and card networks like Visa/Mastercard. The company provides a robust enterprise platform that processes approximately $400 billion (around 63 trillion yen) in payments annually and is certified in over 40 countries.

Since October 2020, when Marqeta was adopted as the processing partner for Coinbase's U.S. cryptocurrency debit card issuance, the two companies have collaborated for six years. This expansion of the partnership will fully open their technological foundation to Marqeta's extensive corporate customer base.

Insights from Executives on the Future of Cryptocurrency Payments

As demand for practical digital asset payments rises, the management teams of both companies emphasize the significance of this partnership.

Alec Lovett, Coinbase's Infrastructure Product Lead, stated that by integrating Coinbase's stablecoin payment network with Marqeta's issuance and processing capabilities, they aim to "realize real-time global transactions that modern consumers and businesses demand," expressing confidence in the seamless integration of traditional finance and the digital asset market.

Additionally, Anthony Peculic, CSO (Chief Strategy Officer) of Marqeta, explained that expanding the relationship with Coinbase was a very natural step in building a full stack of stablecoin-backed cards. He indicated that leveraging Coinbase's overwhelming scale and broad infrastructure would further expand the possibilities for Marqeta's corporate clients to offer payment services through their own brands.

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