Information technology giant Google has partnered with a top crypto exchange, Coinbase. This partnership will enable users to pay for cloud services utilizing “select” cryptocurrency.
According to both companies, crypto-based payments, including Bitcoin, Ether, Litecoin, Dogecoin, Bitcoin Cash, etc., will become available to a select group of customers in the web3 space from early 2023.
In response to the announcement, Coinbase’s stock was boosted by over 7% at $71.32.
Coinbase to Transition from AWS to Google Cloud
This collaboration between the two companies would necessitate Coinbase to move from Amazon Web Service (AWS) to Google’s cloud infrastructure for hosting its data-related applications.
Coinbase will utilize Google Cloud’s fiber-optic network platform to compute blockchain data. It will also provide its customers with machine learning-driven crypto knowledge, enhancing their global reach of crypto services.
Google will use Coinbase Commerce for its crypto services, such as receiving, sending, and converting crypto, with Coinbase taking a share of the transactions.
Google will also use Coinbase Prime— a crypto trading platform for storing and trading crypto and Coinbase Node, a tool that developers can employ to gain access to blockchains and build decentralized apps (dApps).
Google’s Foray into Crypto
Google’s interest in crypto isn’t just happening for the first time. They are, in fact, the world’s most significant contributors to cryptocurrency and blockchain companies.
The tech giant’s parent company Alphabet invested $1.5 billion into four crypto startups since September 2021, such as digital asset custody platform Fire Blocks, Web3 game company Dapper Labs, Bitcoin infrastructure tool Voltage, and venture capital firm Digital Currency Group.
Web3 is the future of the Internet, and tech giants have increasingly become more active in the space. Therefore, the tech ecosystem has witnessed the birth of various products and services that integrate Web3 technology.
Many top brands in Web2 dominating the market are now looking to become stakeholders in Web3, which shows in the numbers.
About 61 blockchain companies — active in over 20 industries and 65 use cases – received funds across 71 rounds from 40 funders, with $6bn being invested into the industry within the past 12 months.
Google is leading the way, and this new strategic partnership with Coinbase will only do more for the web3 space.