How Automated Agents Pay Each Other: x402 Protocol Explained

Description and use

Automated agents can now pay for API requests without manual intervention, using the x402 protocol and USDC on Base.

Problem

Automated systems need to transact programmatically, but traditional payment rails require manual intervention—accounts, API keys, subscriptions.

Outcome

Automated agents can now transact seamlessly without manual setup, enabling true machine-to-machine commerce.

Workflow

• 1. Agent sends request to API endpoint.
• 2. Endpoint responds with HTTP 402 and required payment details.
• 3. Agent transfers USDC to the specified wallet on Base.
• 4. Endpoint verifies payment and processes the request.
• 5. Agent receives response and continues workflow.

Evidence

We built a system where automated agents pay per request using the x402 protocol — HTTP 402 + USDC on Base. No accounts, no keys, just wallets and code.

Source

26 paid API endpoints running on HTTP 402

Source