Citibank and Coinbase Partner to Provide Stablecoin Payment Services for Institutional Clients

TechFlow reports, on September 28, the Wall Street Journal stated that Citigroup has partnered with Coinbase to provide stablecoin payment services for institutional clients. Coinbase will supply the stablecoin payment rails and underlying blockchain technology to automatically convert stablecoins into fiat currency, while Citigroup, acting as the bookkeeping bank, completes fund settlement. Meanwhile, Coinbase's payment customers can leverage Citigroup's banking capabilities to receive, hold, and make payments through an account-like tool. Incoming cash will be automatically converted into stablecoins and deposited into Coinbase, where users can currently earn an annualized 3.75% interest-like reward.