BitPay invoices only work with wallets that are updated to work with Payment Protocol. Payment Protocol makes sure the Bitcoin or Bitcoin Cash you send is exactly the right amount. It also makes sure you include a high enough miner fee for the Bitcoin or Bitcoin Cash network to confirm your transaction.
With Payment Protocol, you don’t need to worry about failed payments, delayed orders, or dealing with refunds. Payment Protocol also adds new security to payments, protecting you from sending payments to imposters or attackers. Learn more about why BitPay chose Payment Protocol wallets for payments.
In addition to not supporting Payment Protocol, Coinbase is not a Bitcoin or Bitcoin Cash Wallet. As their support page says, they are a “hosted wallet service.” This has pros and cons that we outlined in our blog post on Wallets vs. Exchanges. One of those cons is slower transactions.
Since cryptocurrency exchanges have millions of users and hold a large quantity of Bitcoin and Bitcoin Cash, they try to send your transaction as efficiently as possible by grouping it with other customer transactions. This means that it can take longer than normal to get a payment broadcast to the Bitcoin network. Outgoing transactions typically go out every few hours.
Since BitPay payment windows expire within 15 minutes, outgoing exchange/account transactions are often too slow to successfully pay a BitPay merchant. This is one of the reasons why BitPay requires all payments to be made with a secure, Payment Protocol compatible wallet. To pay a BitPay invoice, we recommend transferring your spending bitcoin from an account service to a true bitcoin wallet.