To pay a BitPay invoice you must use a Payment Protocol enabled wallet. Payment Protocol ensures the payment you send is exactly the right amount. It also makes sure you include a high enough miner fee for the 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 cryptocurrency wallet. Coinbase says they are a “hosted wallet service.” A hosted wallet service has pros and cons, outlined in our blog post on Wallets vs. Exchanges.
One of the downsides to a hosted wallet service is slower transactions. Cryptocurrency exchanges have millions of users and hold a large quantity of cryptocurrency. Therefore, they try to send your transaction as efficiently as possible. Exchanges do this by grouping your transaction with other transactions. This means that it can take longer than normal to get your transaction broadcast to the network. Outgoing transactions typically go out every few hours.
BitPay invoice payment windows expire within 15 minutes. This means transactions from an exchange 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.