How they describe themselves: Coinbase is the largest bitcoin platform for merchant payment processing and consumer wallets. We allow merchants to accept bitcoin payments safely and securely without exposure to price volatility.
How they describe their product/innovation: Our instant-exchange feature offers bitcoin payments to merchants with zero exchange rate risk. As a merchant receives bitcoin payments throughout the day, they can instantly sell these bitcoins to Coinbase at a market exchange rate that was locked-in at the time of the customer’s purchase. At the end of each day, Coinbase will clear the USD sum total of all sales via ACH transfer. The merchant is therefore not exposed to bitcoin exchange rate volatility and will receive a dollar value, less our 1% exchange fee, that corresponds to the USD sale price of items purchased by bitcoin-paying customers.
Product Distribution Strategy: Direct to Consumer (B2C), Direct to Business (B2B), through partnerships