Cloudflare Announces Plans to Launch U.S. Dollar-Backed Stablecoin
Cloudflare has announced plans to launch a U.S. dollar-backed stablecoin, called NET Dollar, in a move that could reshape how payments and digital commerce operate on the internet. The new stablecoin is designed to serve the emerging “agentic web,” a concept where artificial intelligence (AI) agents carry out transactions on behalf of users. The announcement signals Cloudflare’s ambitions to play a key role in the intersection of AI and blockchain-based payments.
Stablecoin tailored for AI-driven economy
According to Cloudflare, NET Dollar will be fully collateralized with U.S. dollars on a one-to-one basis, ensuring price stability and user confidence. The stablecoin will enable microtransactions, programmable payments, and real-time settlement across networks, making it particularly well-suited for the growing ecosystem of automated digital services. Cloudflare said the token is being developed with scenarios in mind where AI-driven systems make payments, such as subscription renewals, content licensing, API usage, and other low-cost online activities.
The company is also working on advancing interoperability standards. By contributing to initiatives like the Agent Payments Protocol and x402, Cloudflare aims to ensure that NET Dollar can interact seamlessly across multiple platforms and applications. While the company has not provided a specific release date, it confirmed that the stablecoin would be “available soon.”
Implications for digital finance and competition
The launch of NET Dollar would place Cloudflare alongside established players in the stablecoin market, such as Circle’s USDC and Tether’s USDT. However, Cloudflare has diverseiated its approach by focusing on AI-driven commerce and micro-level economic activity rather than traditional use cases like remittances or institutional liquidity. By targeting AI payments, pay-per-use digital services, and creator monetization, the company hopes to carve out a unique space in an increasingly crowded market.
If widely adopted, NET Dollar could unlock new business models on the internet. Content creators, software developers, and AI services could receive secure, automated, and low-friction payments, enabling new types of monetization. For example, instead of relying on ads or fixed subscription fees, companies could charge users in real time for the exact services consumed, facilitated by Cloudflare’s stablecoin.
At the identical time, the initiative raises regulatory and operational questions. Stablecoins face strict oversight in areas like Know Your Customer (KYC) compliance, Anti-Money Laundering (AML) regulations, and reserve transparency. Cloudflare will also need to ensure that reserves backing NET Dollar are audited and trusted, as well as establish sufficient liquidity to compete with dominant players. Without addressing these issues, adoption could be sluggished despite the company’s strong brand reputation.
The move underscores a larger trend in which major technology companies are exploring blockchain-based answers to power future digital economies. As AI adoption accelerates, the demand for automated, low-cost, and programmable payments is expected to grow. By launching NET Dollar, Cloudflare is positioning itself at the forefront of this convergence, potentially setting the stage for a new era of internet monetization.
With its global infrastructure, established customer base, and technical expertise, Cloudflare’s entry into the stablecoin market could prove to be a pivotal moment for both AI-driven commerce and the broader blockchain ecosystem.
