Unit economics + impact on various players
Shopify × Stripe × $COIN USDC:
Status quo take rate source: Timothy Chiodo (UBS)’s excellent report.
Gross take rate = same, with (up to) 0.5% cashback to merchants
Processing partner fees (i.e. Stripe) = assume same as card
$COIN fees = 1%, but assume Shopify gets 50% discount (coinbase.com/commerce)
Consumer rewards = 1% (per Tobi interview) — not considered “yield sharing” under the GENIUS Act
Cross-border (14% of $SHOP merchants):
“All USDC payments convert to local currency, no FX or multi-currency fees”
(shopify.com/enterprise/blo…)
If I’m understanding card rails correctly, cross-border merchants do pay extra for FX:
Example: U.S. card → USD checkout → Asian merchant paid in local currency. Network converts USD → SGD at wholesale rate + 1bp spread = ≈1.25% FX + assessment fees. Two biz days later (T+2 Visa, T+1 Mastercard), the acquirer deposits SGD 135.20 into merchant’s account, net of fees. Cardholder’s statement still shows USD 100.00 — no FX on their side.
→ So stablecoin rails give real savings to cross-border merchants.
Net take rate / margin ends up similar for now — but no reason gross take rate or fees won’t compress over time. But even then, net take rate impact on merchant acquirers should be comparable?
Also surprised Stripe hasn’t pushed its own stablecoin rails post-Bridge.
---
For merchants in general, switching to stablecoin rails, or issuing their own stablecoins (in the case of big merchants) feels like a no-brainer.
With net margins often in the low single digits, cutting 1–2% in payment fees could boost profits by 50% or more.
---
open.substack.com/pub/robonomics…
Shopify × Stripe × $COIN USDC:
Status quo take rate source: Timothy Chiodo (UBS)’s excellent report.
Gross take rate = same, with (up to) 0.5% cashback to merchants
Processing partner fees (i.e. Stripe) = assume same as card
$COIN fees = 1%, but assume Shopify gets 50% discount (coinbase.com/commerce)
Consumer rewards = 1% (per Tobi interview) — not considered “yield sharing” under the GENIUS Act
Cross-border (14% of $SHOP merchants):
“All USDC payments convert to local currency, no FX or multi-currency fees”
(shopify.com/enterprise/blo…)
If I’m understanding card rails correctly, cross-border merchants do pay extra for FX:
Example: U.S. card → USD checkout → Asian merchant paid in local currency. Network converts USD → SGD at wholesale rate + 1bp spread = ≈1.25% FX + assessment fees. Two biz days later (T+2 Visa, T+1 Mastercard), the acquirer deposits SGD 135.20 into merchant’s account, net of fees. Cardholder’s statement still shows USD 100.00 — no FX on their side.
→ So stablecoin rails give real savings to cross-border merchants.
Net take rate / margin ends up similar for now — but no reason gross take rate or fees won’t compress over time. But even then, net take rate impact on merchant acquirers should be comparable?
Also surprised Stripe hasn’t pushed its own stablecoin rails post-Bridge.
---
For merchants in general, switching to stablecoin rails, or issuing their own stablecoins (in the case of big merchants) feels like a no-brainer.
With net margins often in the low single digits, cutting 1–2% in payment fees could boost profits by 50% or more.
---
open.substack.com/pub/robonomics…
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