How Automated Agents Pay Each Other: x402 Protocol Explained

Description and use

Automated agents can now pay for requests via the x402 protocol using USDC on Base, eliminating manual accounts and keys.

Problem

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

Outcome

Agents can transact without manual intervention, enabling true machine-to-machine commerce.

Workflow

• 1. Agent sends request to a paid API endpoint.
• 2. Endpoint responds with HTTP 402 and a payment request in USDC on Base.
• 3. Agent pays the required amount from its wallet.
• 4. Upon receipt, the endpoint processes the request and returns the response.

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