Shiba Inu Survives as Coinbase Upgrades Payment Protocol

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In a strategic shift that underscores the growing importance of interoperability in the cryptocurrency ecosystem, Coinbase Commerce has upgraded its payment infrastructure—removing support for Bitcoin, Dogecoin, and Litecoin—while retaining Shiba Inu (SHIB) due to its Ethereum Virtual Machine (EVM) compatibility.

This move signals a pivotal moment for digital asset adoption in commerce, highlighting how blockchain architecture and ecosystem alignment can determine real-world utility. As the crypto industry evolves, projects that integrate seamlessly with dominant protocols are gaining a competitive edge.

Coinbase Commerce’s New On-Chain Payment Standard

Coinbase Commerce, the merchant-focused arm of the leading cryptocurrency exchange, recently announced a major overhaul of its underlying payment protocol. According to Lauren Dowling, Product Lead at Coinbase Commerce, the update aims to streamline on-chain transactions for businesses by adopting a more efficient, EVM-centric model.

“We’re setting a new standard for on-chain payments—faster, more reliable, and built for the future of commerce,” Dowling stated in a recent Twitter thread outlining the changes.

The revised protocol now supports only EVM-compatible chains: Ethereum, Polygon, and Base—the Layer 2 network developed by Coinbase itself. This shift enables faster settlement, lower fees, and improved developer tooling for merchants integrating crypto payments.

Crucially, the system automatically converts incoming payments into USDC—a stablecoin pegged to the U.S. dollar—on-chain. This eliminates price volatility risk for merchants while guaranteeing them a fixed rate at the time of transaction.

👉 Discover how modern payment protocols are reshaping crypto commerce.

Why Bitcoin and Dogecoin Were Removed

Despite their popularity, Bitcoin (BTC), Dogecoin (DOGE), and Litecoin (LTC) operate on UTXO-based blockchain architectures that are not natively compatible with the EVM. This creates technical hurdles when attempting to replicate the same seamless, automated conversion and cross-chain functionality offered by EVM networks.

While these coins will no longer be supported through Coinbase’s new open on-chain payment protocol, they remain available for merchant transactions via direct Coinbase account integration. In other words, businesses using Coinbase’s hosted wallet services can still accept BTC or DOGE—but not through the upgraded decentralized protocol.

Notably, Coinbase CEO Brian Armstrong hinted at a potential future revival of Bitcoin payments via the Lightning Network, once the exchange completes integration with this Layer 2 scaling solution. Lightning promises near-instant, low-cost BTC transactions—making it a viable candidate for point-of-sale use cases down the line.

Shiba Inu’s Strategic Advantage: EVM Compatibility

Amid this transition, Shiba Inu (SHIB) stands out as a beneficiary—not because of hype or community momentum alone, but due to deliberate technological alignment.

Unlike many memecoins built on isolated or non-EVM blockchains, SHIB was launched on Ethereum and has since doubled down on interoperability. The project's development team introduced Shibarium, an EVM-compatible Layer 2 network designed to reduce transaction costs while maintaining security and scalability.

This architectural choice positions Shiba Inu uniquely within the broader crypto economy. By embracing Ethereum’s infrastructure, SHIB gains access to:

As a result, SHIB isn’t just another speculative token—it’s becoming part of the functional fabric of Web3 commerce.

👉 See how EVM-compatible tokens are leading the next wave of blockchain adoption.

The Bigger Picture: Interoperability as a Survival Trait

The Coinbase Commerce update reflects a broader trend: interoperability is becoming a survival trait in the crypto space.

Projects that build on widely adopted standards like the EVM enjoy greater network effects. They benefit from shared security models, developer communities, and tooling ecosystems—making them more attractive to enterprises and developers alike.

In contrast, coins operating on proprietary or outdated architectures face increasing marginalization in real-world applications—even if they retain strong brand recognition.

Shiba Inu’s continued inclusion in high-profile platforms like Coinbase Commerce validates its long-term strategy: combining viral appeal with technical substance.

Market Performance and Community Resilience

Despite trading well below its all-time high, Shiba Inu maintains a formidable presence in the crypto market. At the time of writing, SHIB is valued at approximately $0.000009727**, with a market capitalization exceeding **$5.7 billion, securing its position among the top 20 cryptocurrencies globally.

This resilience stems from more than speculation. The Shiba Inu ecosystem includes:

These elements contribute to sustained engagement and utility—key factors in outlasting market cycles.

Frequently Asked Questions (FAQ)

Why did Coinbase remove Bitcoin from its payment protocol?

Coinbase removed Bitcoin from its new open on-chain payment protocol due to technical incompatibility. The updated system relies on EVM-based blockchains for features like automatic stablecoin conversion and cross-chain interoperability—capabilities that are difficult to implement with UTXO-based systems like Bitcoin.

Will merchants still be able to accept Dogecoin?

Yes—but only through traditional Coinbase account integrations. Dogecoin is no longer supported on the new decentralized on-chain payment protocol due to its non-EVM architecture.

What makes Shiba Inu different from other memecoins?

Shiba Inu differentiates itself through technological depth. While many memecoins lack utility, SHIB has built an entire ecosystem—including Shibarium (a Layer 2 network), ShibaSwap (a DeFi platform), and governance mechanisms—making it more than just a speculative asset.

Could Bitcoin return to Coinbase Commerce in the future?

Possibly. Coinbase CEO Brian Armstrong has suggested that Bitcoin payments could return via Lightning Network integration—a Layer 2 solution that enables fast, low-cost transactions—once development progresses.

Is EVM compatibility essential for crypto adoption?

Increasingly, yes. The EVM has become the de facto standard for smart contract platforms. Projects built on or compatible with EVM benefit from wider tooling support, easier development, and better integration with existing financial infrastructure—key advantages for mainstream adoption.

Does this mean non-EVM coins are obsolete?

Not necessarily. Coins like Bitcoin continue to serve critical roles as stores of value and settlement layers. However, for use cases involving payments, DeFi, or dApps, EVM-compatible assets currently hold a significant edge in functionality and adoption.

👉 Explore EVM-compatible ecosystems powering the future of digital finance.

Conclusion: Technology Over Hype

Coinbase’s decision to prioritize EVM-compatible assets underscores a maturing crypto industry—one where technical merit increasingly outweighs popularity alone.

Shiba Inu’s survival in this updated landscape isn’t accidental. It’s the result of strategic investments in infrastructure, interoperability, and long-term utility. While memecoin sentiment still plays a role in price dynamics, real-world adoption now hinges on foundational technology.

As blockchain continues to converge around scalable, composable standards like the EVM, projects that align with these frameworks will lead the next phase of innovation—beyond speculation and into practical application.

Disclaimer: This content is informational and should not be considered financial advice. The views expressed may include personal opinions and do not reflect official stances. Readers are encouraged to conduct thorough research before making any investment decisions. No liability is assumed for any financial outcomes resulting from the use of this information.