Coinbase direct payroll

Direct payroll deposits soon to launch on Coinbase

Coinbase, one of the largest US-based crypto exchanges, recently included a new feature in its platform allowing users to deposit a portion of their paychecks directly into their online accounts. 

In a blog post on the official Coinbase website, the exchange announced its plans of entering the future of payroll’. This feature would give employers an alternative payroll option that can include cryptocurrency.

Coinbase stated that direct deposits can give customers easy access to crypt-first financial services. The direct deposit feature gives users the power to hold their money in either fiat currency or crypto assets without additional fees. 

‘We’ve partnered with a number of companies, including Fortress Investment Group, M31 Capital, Nansen, and SuperRare Labs, to allow employees throughout the creator economy and financial services to enter the future of payroll,’ Coinbase senior director Prakash Hariramani said in the press release.

Its current target is workers in the ‘creator economy’ that dominates the social media sphere. This feature was developed after customers clamoured about how time-consuming and inconvenient it is to transfer fiat currencies from their bank accounts to their Coinbase balance. 

In a report by CNBC, Coinbase is said to use an FDIC-insured bank partner for the direct deposit service. It has yet to announce which bank institution it will partner with. However, the company works with MetaBank to provide customers with the rewards card service. 

Coinbase: ‘Maintaining full control’

In a recent report from CoinDesk, the US-based exchange is building a one-stop shop for crypto-based financial services. This is in accordance with the statement released by Max Branzburg, Coinbase’s Vice President of Product. 

‘Our goal is to enable everyone to get more out of their money with the power of crypto – from getting your paycheck in crypto, to generating yield on your assets, to spending your crypto and beyond – all from a single account,’ Branzburg added.

The feature will allow users to create and modify direct payments through the Coinbase app depending on the certain company’s payroll system. The exchange will then set up an automatic paycheck distribution and provide manual deposits that are yet to be launched. 

Coinbase said that this service is set to launch in the ‘coming weeks’. Specifics aren’t disclosed yet by the company regarding the final date. 

In addition to the direct payroll feature, Coinbase will also allow its Visa debit cardholders to earn crypto rewards. This was disclosed in a separate announcement that users with the Coinbase Visa can earn cryptocurrencies without fees by spending in dollars using the card. 

Further announcements will be made in the coming months of how the payments will be facilitated. Stay tuned here at Cryptoshimbun for more cryptocurrency updates about Coinbase!

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