Coinbase and Marqeta expand partnership for stablecoin cards

Marqeta and Coinbase said Oct. 16 they will let Marqeta enterprise customers offer stablecoin-backed cards, with businesses able to fund programs 24/7, according to Marqeta’s announcement. The expansion combines Coinbase’s stablecoin infrastructure with Marqeta’s card issuing and payment processing.

How will the stablecoin cards work?

Coinbase will custody users’ stablecoin balances and convert between digital assets and fiat, while its Base blockchain will provide onchain settlement infrastructure, the companies said. Marqeta will issue the cards, process payments and manage bank and card network relationships.

Cardholders will be able to spend from stablecoin balances at millions of merchants that accept cards globally. Marqeta and Coinbase described the arrangement as an expansion of their existing relationship; Marqeta already issues crypto-backed cards for Coinbase.

Who can offer the cards?

The service is aimed at Marqeta’s enterprise customers, including crypto-native and non-crypto firms, according to the announcement. It gives those businesses a way to offer cards linked to customer stablecoin balances, while the card network side continues to use Marqeta’s issuing and processing services.

Coinbase’s Alec Lovett, head of infrastructure products, said the collaboration would combine Coinbase’s stablecoin payment rails with Marqeta’s issuing and processing capabilities. Marqeta Chief Strategy Officer Anthony Peculic said the partnership would support enterprise customers building stablecoin-backed card programs.

When will the cards launch?

The companies did not give a rollout date, name the stablecoins that will be supported or disclose fees, The Block reported. The announcement describes the planned services and each company’s role, but does not set out a launch schedule.

Sources

• Marqeta’s announcement — businesswire.com
• The Block reported — theblock.co