Coinbase CEO Brian Armstrong has signaled interest in incorporating Circle’s USD Coin (USDC) for payments on X, formerly known as Twitter.
In a Dec. 29 post, Armstrong suggested that USDC payments would be a valuable addition to the platform and called on the X team to explore implementing this feature.
This public appeal follows a similar suggestion by Travis Bloom, Coinbase’s Lead Engineer, who previously questioned when X owner Elon Musk would enable users to send and receive USDC on the Base network.
Market observers noted that implementing such functionality aligns with X’s broader ambitions to introduce a payment system and transform the social media platform into an “everything app.”
In January, X revealed plans to roll out a peer-to-peer payment service similar to PayPal. While details on the service’s currency—whether fiat or crypto—remained unclear, the platform has yet to launch the initiative.
However, X has made significant strides in securing money transmitter licenses across the US. Its subsidiary, X Payments, is now licensed in 33 states, including California, Illinois, and Virginia.
USDC on X
USDC integration via Coinbase-backed Base could be a strategic move for X and the stablecoin.
USDC ranks as the second-largest stablecoin globally behind Tether’s USDT, with a focus on aligning with compliance standards. In 2024, USDC’s total supply grew over 80%, surging from $24.2 billion to more than $43 billion.
Moreover, its presence on Ethereum Layer 2 networks also saw explosive growth. Circle’s Peter Schroeder stated that USDC’s supply of Layer 2 solutions, such as Base and Arbitrum, increased from $1.9 billion to $8.1 billion.
Base alone achieved 26x growth in USDC usage, cementing its position as the leading Ethereum Layer 2 network by activity.
Moreover, Base is also the fastest-growing Ethereum layer-2 solution. The network currently reports 5.77 million weekly active addresses, which accounts for nearly 58% of all Layer 2 activity.
Also, the total value of assets locked on the platform has spiked to $13.8 billion from the $745 million recorded at the beginning of this year, according to L2Beats data.
