Let's talk about the V2 upgrade of x402 and share a few key points that I think are important:

1) Wallet Identity + Reusable Sessions

In the V1 version, every API call had to go through the complete on-chain transaction process. If an Agent continuously initiated payment requests, it would generate a large number of on-chain transactions. Coupled with accumulated delays and Gas fees, it was simply unfeasible in some high-frequency application scenarios.

V2 will introduce the Sign-In-With-X (SIWx) mechanism, allowing the Agent to verify their wallet identity once, and subsequent calls can directly reuse the session without needing to confirm on-chain each time. This essentially upgrades x402 from a pay-per-use model to a subscription membership system, lowering the technical performance threshold required in high-frequency scenarios.

2) CAIP Standard Multi-Chain Compatibility

V1 mainly relied on the Base + EIP3009 USDC combination mechanism. Other chains could only be integrated through encapsulation, bridging, or relaying, which significantly increased technical complexity.

V2 can achieve unified multi-chain asset recognition through CAIP, allowing seamless integration with Solana, Monad, Avalanche, other L2s, and even traditional fiat payment channels. This adjustment is necessary because x402 cannot remain at the protocol level; it will ultimately be a competition among multi-chain ecosystems. Only by maximizing the combination of Base's first-mover advantage, Solana's high performance, BSC's liquidity, etc., can it succeed.

3) Extensions Expandable Mechanism

V2 introduces the concept of Extensions, allowing new features to be added without forking the main protocol. Discovery for automatic discovery, dynamic payTo routing, and various innovative gameplay in the future can all be layered on as Extensions.

This actually lays the groundwork for infrastructure and application innovation at the Facilitator and Provider levels. Developers can explore various payment model innovations based on the x402 protocol, including dynamic pricing, multi-party revenue sharing, conditional payments, delayed settlements, and more.

4) Plugin SDK + Automatic Discovery Mechanism

The integration experience in V1 was still at a manual operation level, where modifying SDK source code and manually matching the Facilitator list could work in small-scale application scenarios, but it became troublesome once scaled up.

V2 has revamped the SDK architecture, allowing Facilitators to automatically crawl and index the metadata of x402 services, with prices, routing, and supported chain information all automatically synchronized. This effectively lowers the technical barrier further and makes the open environment more user-friendly.

That's it.

V1 ran a large number of transactions, which only proved the feasibility of the x402 narrative but also exposed many issues, such as ecological closure, high integration thresholds, and unfriendliness to high-frequency application deployment. Clearly, the rapid advancement of V2 is aimed at solving the problem of further scaling x402.

Now, we just need some interesting innovative gameplay to emerge!

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