Google’s AI-Powered Payments Protocol Transforms the Landscape of Automated Online Transactions

Google has introduced an open-source AI payments protocol that accommodates both stablecoins and conventional payment options, representing a major advancement in merging artificial intelligence (AI) with digital financial services. This project, created in partnership with

, the Foundation, and more than 60 other organizations such as Salesforce, American Express, and Etsy, allows AI-powered applications to securely process payments. Building upon Google’s Agent2Agent framework from April, the protocol is designed to unify communication among AI agents while ensuring that financial transactions are compatible and reflect user intentions title1 [ 1 ].

The protocol’s support for stablecoins—digital assets tied to government-issued currencies like the U.S. dollar—demonstrates the sector’s increasing momentum. According to DefiLlama, the total value of stablecoins in circulation has climbed to $289 billion, up from $205 billion at the beginning of 2025, fueled by their growing use in international payments and decentralized finance (DeFi). Google’s initiative coincides with evolving regulations, such as the U.S. GENIUS Act, which establishes legal standards for stablecoin issuance and regulation title2 [ 2 ].

A central feature of the protocol is its ability to work with both established payment networks and new technologies. James Tromans, who leads Web3 at

Cloud, highlighted that the protocol was “designed from scratch” to integrate with current systems while adding stablecoin functionality. Coinbase, a key collaborator, has built its own AI-enabled payment solutions, ensuring the two systems can operate together. Erik Reppel, Coinbase’s engineering head, explained the partnership’s aim: “We’re all working to figure out how we can make AI transmit value to each other” title3 [ 3 ].

This initiative imagines a world where AI agents independently manage sophisticated financial operations. For example, AI-powered financial advisors might negotiate mortgage terms with banks, or automated shopping bots could complete purchases without human input. By embedding secure payment processes that align with user intent, the protocol seeks to address concerns about transparency and trust in AI-managed financial environments title4 [ 4 ].

Clearer regulations and growing institutional participation are speeding up the adoption of stablecoins. The U.S. GENIUS Act, enacted in July 2025, formalizes the use of stablecoins, while the EU’s MiCA regulations set strict standards for reserves and transparency. These changes are helping stablecoins serve as a link between traditional finance and AI-powered platforms. Google’s protocol facilitates this shift by allowing smooth value transfers between AI agents and conventional payment systems title5 [ 5 ].

This collaboration highlights the increasing involvement of major tech companies in the cryptocurrency space. Firms like Apple, Amazon, and Shopify have looked into stablecoin applications, and both Meta and PayPal have introduced their own stablecoins. Google’s approach is notable for its emphasis on AI-driven autonomy. By integrating stablecoin infrastructure into AI processes, the protocol has the potential to transform digital commerce, enabling instant, automated transactions across various sectors. As stablecoins become more widespread, the distinction between AI-powered platforms and traditional financial services may fade, leading to a reimagined global payments landscape title6 [ 6 ].