Key Takeaways:
- Google has partnered with Coinbase (COIN) to accept cryptocurrency payments for cloud services
- Coinbase will in turn use Google Cloud's computing platform to process data
- Coinbase stock rallied over 7% as the news of the partnership spread
YEREVAN (CoinChapter.com) — World’s largest search engine Google has announced it will start accepting crypto payments for cloud services by 2023. To bring this feature to customers, the company has partnered with Coinbase (COIN), one of the leading cryptocurrency exchanges. Meanwhile, the news has caused Coinbase stock to rally.
According to a press release, Coinbase will use Google Cloud’s powerful computing platform to process blockchain data at scale. Moreover, the company also plans to build its global data platform on Google Cloud’s secure infrastructure.
This will allow the crypto exchange to provide its customers with machine learning-driven crypto insights by leveraging Google’s data and analytics technologies.
The crypto exchange currently uses Amazon Web Services (AWS) cloud for its applications.
“As part of the partnership, Google Cloud is positioned to enable select customers, starting with those in the Web3 ecosystem, to pay for its cloud services via cryptocurrencies. Powered by Coinbase Commerce, the new payments experience will benefit Google Cloud’s customers and partners by increasing the optionality of payments for Google Cloud services,”
the press release claimed.
Coinbase Commerce is the crypto exchange online payment mechanism that allows merchants to accept cryptocurrency payments on their websites.
According to the website, the business tool currently supports ten cryptocurrencies. These include Bitcoin (BTC), Ethereum (ETH), and USD Coin (USDC), along with meme tokens Dogecoin (DOGE) and Shiba Inu (SHIB).
The exchange boasts of having “more than 100 million verified users and 14,500 institutional clients,” according to company CEO Brian Armstrong.
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Coinbase Stock Rallies Upon Google Partnership
Google’s partnership with the crypto exchange is a great development for the crypto industry. The institutional adoption of cryptocurrencies and crypto payments goes to show that the technology is here to stay, despite all the initial skepticism by critics.
It also comes as a huge win for Coinbase, considering the tight competition it faces in the field. Having a business giant like Google is a huge endorsement of its technology.
After news of the deal broke, Coinbase (COIN) shares spiked. At the time of writing, stock prices were up over 7%, exchanging hands at around $72 per share after registering a previous day’s close of $67.04
Meanwhile, Google stock remained almost unchanged, rallying less than 1% from its previous close at $97.86. Nonetheless, the search engine was positive about the future.
“We’re proud Coinbase has chosen Google Cloud as its strategic cloud partner, and we’re ready to serve the thriving global Web3 customer and partner ecosystem. Our focus is making it frictionless for all customers to take advantage of our scalability, reliability, security, and data services, so they can focus on innovation in the Web3 space,”
Thomas Kurian, CEO of Google Cloud said about the deal.
As the larger crypto industry struggles under a prolonged crypto winter, such developments will help Bitcoin (BTC) and the company to recover sooner than expected.
