Micropayments were always meant to be part of the internet, but the technology never existed to make them work.

Until now. David sits down with Sam Ragsdale, CEO of Merit Systems, to unpack x402, a new protocol reviving the long-dormant “Payment Required” status code to enable crypto-powered microtransactions across the web.

They explore how x402 could transform how machines, AI agents, and humans pay for internet resources, reshape online business models beyond ads, and unlock a new economy of autonomous agents and programmable commerce.

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We’re being compensated by Bit Digital (NASDAQ BTBT) for this segment promoting their company and BTBT. The compensation is paid in cash as a one time payment. You can find additional information about Bit Digital and BTBT on their Investor page at https://bit-digital.com/investors

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TIMESTAMPS

0:00 Intro

0:10 What is x402?

6:19 Internet Micropayments

9:45 x402 Encryption

12:10 x402 Inception

15:20 How x402 Transactions Work

27:02 x402 Experiments

39:46 Paywalls

43:53 A New Internet?

47:12 Call to Builders

49:21 Merit Systems

53:56 Resources

55:36 Closing & Disclaimers

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RESOURCES

Sam Ragsdale

https://x.com/samrags_ 

Merit Systems

https://www.merit.systems/ 

x402scan

https://www.x402scan.com/ 

Coinbase x402

https://www.coinbase.com/en-pt/developer-platform/products/x402 

Stratechery - The Agentic Web and Original Sin
https://stratechery.com/2025/the-agentic-web-and-original-sin/ 

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