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Google Cloud introduces protocol to secure AI-powered transactions

Google Cloud has introduced the Agent Payments Protocol, or AP2, to create a standard for how AI agents handle payments on behalf of users. The company worked with more than 60 organizations across Southeast Asia and international markets, including Airwallex, Shopee, Lazada, Razer, ZALORA, Mastercard, PayPal, and Coinbase.

The announcement comes at a time when artificial intelligence is starting to reshape the way money moves online. Until now, most payment systems assumed a person clicked the purchase button. AI agents change that assumption by initiating purchases directly, which raises new concerns about authorization, authenticity, and accountability.

Executives at Google Cloud say AP2 provides a foundation for answering those questions. By setting a common language for agent-to-merchant interactions, the framework allows systems to confirm that a user has granted permission, verify that an agent’s request reflects real intent, and determine responsibility if something goes wrong.

Rao Surapaneni, Vice President and General Manager of Google Cloud’s Business Applications Platform, described AP2 as an open and payment-agnostic framework that can handle credit cards, debit cards, real-time bank transfers, and even stablecoins. He added that it gives banks and financial institutions the clarity they need to manage risk.

Industry partners see the move as timely. Mark Micallef, Managing Director for Southeast Asia at Google Cloud, pointed out that the region generated $263 billion in gross merchandise value in 2024 across e-commerce, travel, and food delivery. Digital payments there are projected to surpass $2.1 trillion by 2030, making secure foundations essential for growth.

Other companies voiced support for the protocol as well. Mastercard’s Chief Digital Officer Pablo Fourez noted the importance of advancing verifiable credentials with standards bodies such as the FIDO Alliance. Airwallex Co-Founder Jacob Dai said AP2 helps build confidence for businesses and consumers to delegate transactions to AI agents.

With AP2, Google Cloud and its collaborators aim to prevent the market from fracturing into competing systems. The objective is to keep the confidence as the AI powered trade grows, at the same time allowing the businesses, the networks, and the financial institutions to innovate within a stable and safe framework.

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