Coinbase and Cloudflare have introduced the x402 protocol, a new payment standard designed to streamline web and AI ecosystem transactions. Utilizing the HTTP 402 status code, x402 enables seamless microtransactions with stablecoins like USDC, bypassing traditional payment gateways. Key industry players such as Visa, Google, AWS, and Anthropic are involved, with several AI projects already adopting the protocol. The system leverages blockchain networks like Base and Polygon to ensure fast, low-cost transactions, potentially transforming web-based and AI-driven economic interactions.