Machines just got their own wallets – Coinbase launched Payments MCP, a system that lets AI agents create crypto wallets, fund them, and send stablecoin payments with some simple text commands – without API keys or hard work. Well, AI agents are already buying data, paying for computing power, and settling transactions worth millions of dollars.
The numbers tell the truth – the x402 field jumped from $178 million to $832 million in market value in just three days in October 2025, backed by 44 projects. By this September, the protocol had processed 1.38 million transactions worth $1.48 million, with more than 72,500 buyers – real money and real transactions, happening right now.
x402 Turns a Forgotten Web Code into AI Payment Rails
So, the clever part was that Coinbase built this on something that’s been sitting unused since the 1990s. The protocol uses the “HTTP 402: Payment Required” code – a web standard made decades ago but never used. Erik Reppel, Coinbase’s head of engineering, explained that “Marc Andreessen and the team at Netscape explored it while discovering credit card systems” back in the ’90s – but now, it finally has a purpose.
The system works like this: An AI agent tries to access a paid service, then the server sends back a 402 code with payment instructions, and then the agent reads these instructions, sends USDC stablecoins, and gets instant access – without any signup forms or waiting.
Coinbase and Cloudflare announced the x402 Foundation to make this an industry standard. Cloudflare CEO Matthew Prince said x402 has the “likelihood to become a core protocol for agentic commerce.” Well, when the company that protects half the internet backs your payment protocol, you know something big is happening.
This technology is already affecting online entertainment – so, online casinos that also use crypto show us what happens when you combine AI with instant payments – you get amazing bonuses, huge game libraries, and withdrawals that can hit your wallet in seconds. Gambling expert Matt Bastock rated the top choices on the casinobeats.com online casinos list.
AI Agents Can Now Buy Computing Power and Data on Their Own
The system works with Claude, Gemini, Codex, and Cherry Studio right out of the box. ChatGPT support is coming soon – they just need to fix some technical compatibility problems first.
But what makes this safe is that you set spending limits for your AI agents – Reppel mentioned: “They have dedicated funds you explicitly give them, but they don’t have access to your main wallet. It’s impossible for an agent to rack up a credit card bill you’re responsible for.” You might let an agent spend ten cents freely, but require your approval for anything over a dollar.
Early adopters include Prixe, a stock price API that lets agents make financial reports, as well as many image and video generation services. Agents chain these services together – pulling market data, generating charts, writing analysis, all through automatic micropayments.
The efficiency gains are massive, though. Fintech startups see 60-80% drops in AI integration costs within the first year, saving $400,000 to $640,000 per year.
$30 Trillion Question – Who Pays When Machines Do Business?
Gartner estimates this machine-to-machine economy could reach $30 trillion by 2030. But by the end of this year, experts predict AI agents will do 90% of all blockchain transactions.
Big money is betting on this future – and CoreWeave, an AI data center company, bought Core Scientific, the biggest Bitcoin miner, for $9 billion in July 2025. So, they’re converting crypto mining infrastructure into AI computing power.
But challenges remain, though. Questions about safety, responsibility, and standards are still on the table – but who’s liable when an AI agent sends money to the wrong address? What happens if someone hacks an agent’s wallet? Security researchers already found some vulnerabilities this April that allowed manipulation through LLM-based attacks.
