Coinbase-Backed x402 Adds Batch Settlement to Power Faster AI Agent Payments

Coinbase backed x402 has introduced a new batch settlement feature designed to make AI agent payments faster and cheaper. The update allows thousands of low-value transactions to be grouped together and settled later onchain, reducing blockchain fees for frequent payments.

Base creator Jesse Pollak said Wednesday that;

The feature is built to support tiny payments, even below $0.0001, for services such as AI computing power, data processing and model inference. Instead of settling every payment directly onchain, buyers deposit ERC-20 tokens into escrow and authorize offchain payment vouchers for each request. Sellers can instantly verify these vouchers and complete services before combining multiple transactions into one settlement.

AI Agent Payments Move Toward Lower-Cost Transactions

The update arrives as demand grows for machine-to-machine payments. Earlier this month, cloud giant AWS integrated x402 infrastructure to let AI agents make USDC payments on Base and Solana networks without direct private key access.

According to data, x402 processed more than 169 million payments involving over 590,000 buyers and 100,000 sellers during its first year. The feature currently supports TypeScript and Go, with Python integration expected soon.