Citi and Coinbase Expand Partnership to Offer Stablecoin Checkout for Merchants
Citi Adds Stablecoin Payments to Its Spring Merchant Platform
Citigroup announced it will allow institutional merchants on its Spring payment platform to accept stablecoin payments from customers. Stablecoins are digital currencies designed to stay equal to one dollar. Under the new feature, the cryptocurrency would be converted into regular bank money automatically before reaching the merchant, so they do not need to hold any digital assets.
The announcement came on Sept. 28 and was covered by The Defiant on Oct. 12, 2026. The rollout will start in the United States. Details about which stablecoins will be supported, which blockchains will be used, and when the service becomes widely available have not been disclosed.
How the Payment Flow Would Work
Customers pay in a stablecoin at checkout. Coinbase Payments handles the acceptance of that digital currency and converts it into U.S. dollars. Citigroup then settles those dollars directly into the merchant's Citi bank account. The merchant never touches the cryptocurrency itself.
This builds on an existing relationship. In October 2025, the two firms began working together on fiat funding and withdrawals for Coinbase's on-ramps and off-ramps, which are services that convert between traditional bank money and digital assets.
Key Details From the Announcements
- The service is being added to Spring, Citigroup's existing merchant payment platform that already supports ecommerce payments and electronic direct debits.
- Coinbase says its infrastructure automatically converts the stablecoin into fiat.
- Citigroup says its broader payments business moves about $6 trillion every day.
- The partnership also runs in reverse: Citi's Virtual Account Wallet will support Coinbase Virtual Accounts, letting customers receive fiat that is automatically turned into stablecoins.
What the Companies Have Said
Citigroup stated it "will enable" stablecoin acceptance through Spring. Coinbase said its institutional clients "can now" accept payments. Neither press release specifies whether the feature is currently live, in a pilot phase, or still awaiting general availability.
What Remains Unclear
Neither announcement names participating merchants or lists the specific stablecoins and blockchain networks that will work with the service. The Defiant reported in September that earlier updates had not established whether the initiative was already running or still in testing.
Why This Matters
The move represents a growing effort by traditional banks to offer crypto-linked services to large business clients without requiring them to manage digital assets directly. By routing payments through Coinbase's conversion tools and settling in fiat, Citigroup is trying to make stablecoin checkout accessible to merchants that prefer to avoid cryptocurrency volatility and custody risks.
Sources
Newisty Editorial Team covers technology, cryptocurrency, digital products, online platforms, developer tools and the wider digital economy. Our content is researched from official sources, company announcements, public documentation, market data and other primary or reputable sources. Articles are reviewed and edited before publication for clarity, accuracy and useful context.