On September 26, 2025, Cloudflare, a company listed on the U.S. stock market under the ticker NET, announced its ambitious foray into the stablecoin realm with the introduction of the NET Dollar. This new U.S. dollar-pegged stablecoin is designed to power the burgeoning “agentic web,” a futuristic digital landscape where autonomous AI agents handle tasks like booking flights or ordering groceries. The move marks Cloudflare’s strategic pivot from the traditional ad-driven internet economy to one that promises real value through microtransactions.
A New Dawn for the Internet Economy
Cloudflare’s initiative is centered around transforming the way the internet economy functions. For decades, online businesses have relied heavily on advertising revenue. However, Cloudflare envisions a future where the internet’s business model evolves towards pay-per-use services, allowing for fractional payments and microtransactions. This shift, as articulated by Cloudflare’s co-founder and CEO, Matthew Prince, aims to incentivize the creation of original content that truly adds value to users.
“The Internet’s next business model will be powered by pay-per-use, fractional payments, and microtransactions—tools that shift incentives toward original, creative content,” Prince stated, underlining the company’s commitment to fostering a more open and valuable internet.
Leveraging Global Networks for Financial Modernization
One of Cloudflare’s key selling points for the NET Dollar is its ability to modernize financial transactions. By utilizing Cloudflare’s extensive global network, the company plans to enable instant and secure transactions for software agents, developers, and creators. This initiative is not just about introducing a new currency but also about laying the groundwork for a more efficient financial system that moves money at the speed of the internet.
Prince elaborated, “By using our global network, we are going to help modernize the financial rails needed to move money at the speed of the Internet, helping to create a more open and valuable Internet for everyone.”
Standards and Protocols: Simplifying Online Payments
Cloudflare’s venture into stablecoins isn’t happening in isolation. The company is actively contributing to the development of standards such as the Agent Payments Protocol and x402. These standards aim to simplify the process of sending and receiving payments online, making transactions more user-friendly and accessible.
This involvement in setting industry standards highlights Cloudflare’s commitment to not only creating a stablecoin but also ensuring that the surrounding infrastructure supports seamless digital transactions. By focusing on these protocols, Cloudflare is positioning itself as a key player in the stablecoin ecosystem, one that prioritizes interoperability and ease of use.
The Stablecoin Trend: A Broader Context
Cloudflare’s entry into the stablecoin market places it among a growing list of fintech and payment companies exploring this space. Stablecoins, with their value pegged to fiat currencies like the U.S. dollar, offer a faster and cheaper alternative to traditional payment systems. These digital currencies use blockchain technology for settlement, which can significantly reduce transaction times and costs.
For instance, fintech giant Stripe has been making waves with its own blockchain, Tempo, specifically designed for stablecoin transactions. Stripe’s acquisition of stablecoin infrastructure provider Bridge for a staggering $1.1 billion underscores the significant investments being made in this sector.
Future Projections and Market Potential
The stablecoin market is poised for exponential growth, with transaction volumes potentially reaching $1 trillion by 2030. This projection is driven by factors such as institutional adoption, foreign exchange settlements, and cross-border payment flows. A report by trading firm Keyrock highlights these trends, suggesting that stablecoins are set to play a critical role in the future of global finance.
Cloudflare’s NET Dollar aims to tap into this vast potential, leveraging its robust infrastructure to facilitate a new wave of digital transactions. By doing so, Cloudflare not only broadens its business horizons but also contributes to the broader adoption of stablecoins in everyday financial activities.
Balancing Innovation with Caution
While Cloudflare’s venture into stablecoins is met with enthusiasm, it’s essential to consider the challenges and risks involved. The regulatory landscape for cryptocurrencies and stablecoins is still evolving, and companies entering this space must navigate complex legal frameworks to ensure compliance.
Moreover, the success of Cloudflare’s stablecoin will hinge on its acceptance by users and the broader market. Building trust and demonstrating the practical benefits of the NET Dollar will be crucial in gaining traction and achieving the company’s ambitious goals.
In conclusion, Cloudflare’s introduction of the NET Dollar signifies a bold step towards an internet economy driven by microtransactions and original content. By leveraging its global network and contributing to industry standards, Cloudflare is well-positioned to become a leader in the stablecoin space. However, as with any pioneering venture, a careful balance of innovation and caution will be essential for long-term success in this rapidly evolving landscape.
Steve Gregory is a lawyer in the United States who specializes in licensing for cryptocurrency companies and products. Steve began his career as an attorney in 2015 but made the switch to working in cryptocurrency full time shortly after joining the original team at Gemini Trust Company, an early cryptocurrency exchange based in New York City. Steve then joined CEX.io and was able to launch their regulated US-based cryptocurrency. Steve then went on to become the CEO at currency.com when he ran for four years and was able to lead currency.com to being fully acquired in 2025.
