Coinbase (COIN) Stock: AI Agents Can Now Trade Crypto While You Sleep

TLDR

• Coinbase launched Agentic Wallets, allowing AI agents to autonomously hold funds, trade crypto, and manage DeFi positions without human intervention
• The wallets build on Coinbase’s x402 payment protocol, which has processed 50 million transactions since launch
• AI agents can operate 24/7 on Ethereum layer-2 Base and Solana, automatically rebalancing portfolios when better opportunities arise
• Security features include programmable spending limits, session caps, and secure infrastructure that keeps private keys away from AI prompts
• Lightning Labs released similar tools for Bitcoin’s Lightning Network, while Crypto.com CEO launched ai.com for personal AI agents

Coinbase unveiled Agentic Wallets on Wednesday, marking the first wallet infrastructure built specifically for autonomous AI agents. The new system lets AI bots independently manage crypto funds, execute trades, and handle DeFi positions without requiring human approval.

The technology builds on Coinbase’s x402 payment protocol. This protocol enables autonomous crypto payments and has already processed 50 million transactions since its 2024 launch.

AI Agents Get Financial Independence

Coinbase Developer Platform programmers Erik Reppel and Josh Nickerson explained that current AI agents can answer questions and summarize documents. But they hit limitations when tasks require actual financial transactions.

Users set controls and permissions upfront. After that, agents can monitor DeFi positions and rebalance portfolios automatically at any hour.

The system works across multiple blockchain networks. Initial support includes EVM chains and Solana, with gasless transactions available on Base layer-2.

Security features include programmable spending limits and session caps. Private keys stay in secure Coinbase infrastructure, never exposed to the AI agent’s prompts or language model.

Payment Protocol Powers Autonomous Transactions

The x402 protocol forms the backbone of Agentic Wallets. Named after the HTTP 402 “Payment Required” status code, it was designed for machine-to-machine payments.

Through x402, agents can acquire API keys, purchase compute power, and access premium data streams. All transactions happen autonomously, creating what Coinbase calls “self-sustaining machine economies.”

Coinbase launched a revamped 2.0 version of the protocol in December 2024. The update expanded support for traditional payment systems.

The company established the x402 Foundation with Cloudflare in September to promote wider adoption. The foundation aims to standardize autonomous payment protocols across the internet.

Expanding AI Agent Ecosystem

Coinbase’s Agentic Wallets advance the company’s earlier AgentKit framework from November 2024. AgentKit allowed developers to embed wallets during agent creation.

The new system takes a plug-and-play approach. Any existing AI agent can now receive wallet functionality without rebuilding from scratch.

Lightning Labs released competing tools on Wednesday for the Bitcoin Lightning Network. Their L402 protocol standard lets AI agents transact on Lightning and run nodes without accessing private keys.

Crypto.com CEO Kris Marszalek launched ai.com on Monday. The platform lets users create personal AI agents for everyday tasks like managing emails and canceling subscriptions.

Circle CEO Jeremy Allaire predicted billions of AI agents will use crypto for payments within three to five years. Former Binance CEO Changpeng Zhao said crypto will become the native currency for AI agents.

Google introduced its Universal Commerce Protocol on January 11 for agentic commerce. The protocol uses Google Pay as the default handler for US dollar transactions.

Coinbase also unveiled Payments MCP recently. The protocol enables large language models like Claude and Gemini to access blockchain wallets directly.

The company released an agent-wallet-skills repository. It provides agents with basic commands to check balances, fund wallets, and deploy new capabilities through a command-line interface.

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