Coinbase has enhanced its Onramp platform by incorporating Apple Pay, allowing users of third-party applications, including self-custody wallets, to facilitate crypto purchases using the popular payment service native to iPhones. Purchasing cryptocurrency with fiat currency can be a cumbersome process, often involving lengthy exchanges and Know Your Customer (KYC) checks.
The Apple Pay integration aims to expedite this process, leveraging the service's widespread adoption and inclusion on Apple devices. Introduced in 2014, Apple Pay boasts approximately 500 million active users and holds over 90% of the US market share for contactless payments.
According to Nemil Dalal, head of Coinbase's developer platform, Onramp products simplify the process of converting fiat to crypto, historically a painful experience. With the integration, users can link their bank accounts, transfer money on-chain, and proceed with their desired actions in a matter of seconds, utilizing a familiar wallet experience. Dalal noted that users can already purchase crypto on Uniswap via Coinbase Onramp, and a draft blog post from Coinbase mentions Moonshot, an app for buying memecoins, now supporting cash deposits through Apple Pay. The Onramp team utilizes certain payment card data received via Apple Pay to perform Coinbase's KYC procedures, eliminating the need for manual information submission by the consumer.
Additionally, users who buy the USDC stablecoin with Apple Pay through Coinbase Onramp will be exempt from transaction fees.