Google has announced it will be partnering with crypto exchange service Coinbase to allow users to pay for its cloud services with cryptocurrency.
Crypto has been facing a slew of challenges lately – not least the recent news that Binance’s $570m crypto hack could lengthen the so-called ‘crypto winter – however, this hasn’t stopped tech giants like Google from embracing cryptocurrency payments.
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Coinbase will be moving applications from Amazon‘s web services to Google’s cloud, allowing users to pay with digital currencies like Bitcoin, Ethereum and Cardano.
It follows Google’s previous Crypto.com deal allowing in-app crypto purchases with Google Play.
“The news is a positive move for the crypto industry and gets us closer to achieving our ultimate goal which is mass adoption,” Pavel Matveev, CEO of crypto payments firm Wirex, tells Verdict.
“This is a bold step from Google that will set the tone for other big companies to follow.”
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By GlobalDataA small subset of users will be able to use digital currencies to pay for Google’s cloud services from early 2023.
Chris Dinga, analyst at GlobalData, told Verdict that the partnership represents current trends in the cryptocurrency sector.
“We are seeing more incumbent companies partnering up with crypto providers to provide crypto services to consumers,” Dinga said.
“Visa and Mastercard already partnered up with crypto providers to ease crypto purchases and acceptance with merchants, and last year PayPal, encouraged crypto acceptance.”
Dinga added that all of this is happening despite the noticeable lack of regulations in the sector.
“The crypto sector has reached a point that more people are willing to get exposure to it despite the volatility risk and the lack of regulations,” Dinga said.
James Ross, Managing Director at Web3 marketing agency Hype told Verdict that the two companies are looking to diversify their revenue streams.
“With this collaboration, Coinbase gets a chance to prove its technology mettle and potentially change the optics for the entire Web3 industry, Ross said.
“It’s a massive moment for Coinbase as a company, and if all goes well — it could be an even bigger opportunity for the entire Web3 space to introduce cryptocurrencies to new audiences.”
