Citi and Coinbase Enable Corporate Clients to Accept Stablecoin Payments
Citi and Coinbase have formed a partnership to enable corporate clients of the bank to accept payments in stablecoins. The bank's institutional clients, including multinational corporations, will be able to settle through Citi's merchant services using stablecoin payments infrastructure provided by Coinbase.
Coinbase will automatically convert digital assets into government-issued fiat currency, while Citi will handle final settlement. This partnership aims to connect digital assets with sectors of the economy that continue to use traditional currencies.
Shahmir Khalik, head of services at Citi, stated, 'This is a really important piece to complete this puzzle.' The deal between Citi and Coinbase comes after the CLARITY Act bill failed to advance in the US Senate. Khalik noted that Citi will continue to develop digital assets within its banking license and existing regulation.