Coinbase has partnered with banking technology company Stablecore to integrate regulated crypto custody, trading, and stablecoin payments into the existing systems of U.S. community banks and credit unions, claiming a technology interface that covers over 3,000 deposit institutions, allowing users to avoid opening separate exchange accounts.

Stablecore is responsible for connecting core banks, digital banks, and compliance stacks, while Coinbase provides the underlying custody, trading, staking, and stablecoin payment services. Amarillo National Bank in Texas is already online. Alec Lovett, head of Coinbase's infrastructure business, stated that community institutions do not have to choose between "staying local" and "keeping up with products."

This marks Coinbase's second community bank distribution this month: previously partnering with Moov to cover over 1,000 institutions in its network for stablecoin payments, settlements, and real-time funding. Stablecore completed a $20 million funding round in September 2025, led by Norwest, with participation from Coinbase Ventures and several bank-affiliated funds, representing over 290 banks and credit unions as limited partners.

The company has connected approximately 1,670 core clients through the Jack Henry fintech network and collaborates with Q2, the Tennessee Bankers Association, and the Maine Bankers Association; it has also conducted a stablecoin pilot project with Circuit and Curql for credit unions with approximately $25 billion in assets, including participants like RBFCU and Stanford Federal Credit Union. The platform claims customers can choose their own custodians, exchanges, and stablecoin issuers without being locked into one.

Market-wise, this shifts the retail crypto entry from standalone apps back to local bank apps: what is bought is a deposit relationship that is not siphoned off by fintech, and what is sold is customers moving their payroll accounts to exchanges to buy coins. Benefiting are those providing white-label custody and stablecoin rails like Coinbase; under pressure are pure exchanges that only cater to high-net-worth crypto clients without connecting to core systems, as well as small institutional compliance officers who have yet to decide whether to go on-chain. The number of interfaces does not equal the number of institutions with activated products.

Additionally, after the federal framework for stablecoin payments is established in mid-2025, community institutions will have clear compliance guidelines; Stablecore has also worked with Nasdaq Verafin for financial crime monitoring. Brand and customer relationships remain on the bank side.

Source: Public Information