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Coinbase-Backed x402 Adds Batch Settlement to Lower AI Agent Payment Costs

Coinbase-backed payment protocol x402 has launched batch settlement, a new feature aimed at making AI agent payments cheaper and more efficient on blockchain networks.

The update allows AI agents to process thousands of tiny payments offchain and settle them later in bulk onchain, reducing gas costs tied to frequent transactions. Base creator Jesse Pollak said Wednesday that the feature supports microtransactions below $0.0001 for services such as AI compute power and inference requests.

x402 expands AI payment infrastructure

According to x402 documentation, buyers can deposit ERC-20 tokens into an onchain escrow account while issuing signed offchain payment vouchers for each request. Sellers can instantly verify the vouchers, provide the requested service and later combine multiple payments into a single blockchain settlement transaction.

The launch follows last week’s integration between Amazon Web Services and Coinbase, which enabled AI agents to make USDC payments on Base and Solana using x402’s payment rails without direct access to private keys.

Coinbase said x402 is built around the HTTP 402 “Payment Required” status code, turning internet payments into a native feature for applications and autonomous agents.  The update also arrives shortly after Coinbase CEO Brian Armstrong announced plans to reduce the company’s workforce by 14% as Coinbase shifts toward smaller AI-focused teams and automation tools.

x402 adoption grows as AI payment demand rises

The latest upgrade comes as x402 continues to gain traction across the AI and crypto sectors. According to recent figures shared by Coinbase and ecosystem partners, the protocol had processed more than 165 million transactions worth over $50 million as of April 2026, with activity spanning around 69,000 active AI agents.

The network is also expanding through broader industry backing. More than 20 organizations, including Google and Microsoft, are supporting the formation of the x402 Foundation, an initiative focused on turning the protocol into a standard for AI-driven internet payments.

The growth highlights rising interest in blockchain-based payment rails for autonomous AI systems, especially as developers seek cheaper and faster ways for agents to pay for digital services in real time.

Crypto firms race to build AI agent infrastructures

Batch settlement is designed to support gasless transactions for AI agents by allowing transaction facilitators to sponsor deposits, settlements and refunds, according to Coinbase Developer Platform product lead Joshua Nickerson.

The feature currently supports TypeScript and Go implementations, while Python support is expected soon. AI agents using the system can also transact with any Ethereum-compatible ERC-20 token rather than relying only on stablecoins.

The development adds to a growing push across the crypto sector to build infrastructure for autonomous AI systems.

Earlier this week, Circle launched tools allowing AI agents to use wallets and programmable USDC payments, while Aptos Foundation and Aptos Labs committed $50 million toward AI-focused blockchain projects and agent infrastructure.

 

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