TechCardano Enters Competition with Solana and XRP Ledger for AI Payments

Cardano has been integrated into the official x402 software kit, enabling applications and AI agents to utilize ADA and other network tokens for payments, although the system is still undergoing pre-production testing.

By Shaurya Malwa44 minutes ago2 min readMake preferred on ShareShare this articleCopy linkX (Twitter)LinkedInFacebookEmailMake preferred on Cardano founder Charles Hoskinson (CoinDesk archives)SummaryShow
  • Cardano is now part of the x402 software kit, allowing developers to create apps and AI agents that can pay for online services using ADA or tokens from the Cardano network.
  • The x402 standard facilitates automated pay-per-use transactions through internet requests, removing the necessity for accounts, credit card information, or subscriptions.
  • Though Cardano’s TypeScript implementation has successfully completed a transaction in a pre-production environment, it has not yet been deployed on the mainnet or used for large-scale commercial payments.

Cardano has officially joined the x402 software kit, which provides developers with the necessary tools to enable applications and AI agents to conduct payments for online services using ADA or other tokens from the Cardano network.

The x402 standard transforms the web's seldom-used "402 Payment Required" response into an integrated checkout process within internet requests. When a service provides its pricing and payment instructions, the agent can sign the transaction and obtain the required data or computational resources once verified.

This allows an AI agent generating a report to purchase a specific dataset on demand, negating the need for a user to create an account, input card details, or maintain a subscription.

Initially created by Coinbase in 2025, x402 has since been handed over to a Linux Foundation-supported organization that includes members like Visa, Mastercard, Stripe, Google, and Amazon Web Services. The standard is already supported by Solana, the XRP Ledger, and various Ethereum-compatible networks.

Engineers at the Cardano Foundation started with a specification that received approval in June and subsequently developed the client and server software required for processing payments, along with a facilitator that authenticates and submits these transactions. The current release supports TypeScript, with plans to add support for Python in the future.

Documentation for the facilitator indicates that it has successfully completed a transaction on Cardano's pre-production network, but it has yet to be used on the mainnet. Developers can start integrating Cardano into their projects, but as of now, there are no examples of agents performing commercial transactions with ADA at scale.

Cardano is now competing alongside Solana and the XRP Ledger in the effort to have its assets adopted wherever developers decide to implement machine payments.

Read More: Ripple aims for AI agents to make payments using XRP and RLUSD, yet USDC remains dominant in the market.

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