NEW YORK — Coinbase has expanded its collaboration with Citi to help businesses convert incoming traditional currency into stablecoins and accept stablecoin payments, the cryptocurrency company said in a blog post.
Coinbase said it selected Citi’s Virtual Account Wallet to support Coinbase Virtual Accounts. The accounts allow customers to accept, hold and make payments in traditional currency and automatically convert incoming funds into stablecoins. Citi provides the regulated banking infrastructure connecting the accounts to the global financial system, according to the post.
Alec Lovett, Coinbase’s head of infrastructure product, said the arrangement gives clients “bank account-like functionality with the speed of stablecoins underneath it.”
‘Spring by Citi’ Adopted
Coinbase also said it has adopted Spring by Citi, the bank’s payment acceptance platform, to allow Citi’s institutional clients to accept stablecoin payments without holding or managing the digital currency. Coinbase’s infrastructure converts the stablecoins into traditional currency, and Citi settles the funds as the bank of record, the post said.
Brett Tejpaul, head of Coinbase Institutional, said the collaboration gives Coinbase customers access to Citi’s banking infrastructure while allowing Citi’s institutional clients to accept stablecoin payments without building their own systems.
