Bitcoin News Today: NWC Unifies Bitcoin Wallets as Open Payment Standard Gains Momentum

Nostr Wallet Connect (NWC) is emerging as a pivotal innovation in the Bitcoin ecosystem, positioning itself as the USB-C connector for Bitcoin wallets. Designed as an open protocol, NWC facilitates seamless communication between Lightning wallets and applications. It enables a standardized, interoperable way for apps and wallets to connect, reducing complexity for both developers and users [1].

Similar to the evolution of open standards in hardware—such as USB-C, which unifies power, data, and multimedia functions into one connector—NWC unifies the way Bitcoin-based payments are processed across apps. Unlike proprietary systems like Skype’s closed communication protocol or Sony’s MiniDisc format, NWC is open-source and publicly documented, allowing any developer to build upon it without needing special permissions or licensing [1].

The NWC ecosystem is expanding rapidly, with a growing number of apps and wallets integrating the protocol. These range from fintech tools and games to hardware devices. Importantly, the system operates without requiring users to have Nostr keys or technical expertise, making it accessible and user-friendly [1].

The modular design of NWC mirrors the success of foundational internet and hardware standards. It allows developers to innovate freely while ensuring compatibility with existing wallets and apps. For instance, the Alby Browser Extension turns any NWC-compatible wallet into a browser wallet, enabling one-click payments without the need to switch devices or scan QR codes. Similarly, the Alby MCP Server enables payments through AI agents, transforming Lightning wallets into agentic wallets capable of autonomous transaction execution [1].

NWC also benefits app developers by offloading the complexity of payment infrastructure to existing wallet providers. This creates a zero-custody architecture, where apps don’t need to handle user funds, reducing regulatory risk and technical overhead. Developers can focus on building user experiences rather than managing wallet systems [1].

Subscription models powered by Bitcoin are already being enabled through NWC. Users can grant controlled access to their wallets, allowing apps to request recurring payments. Tools like Flash and platforms like Indeehub.studio are leveraging NWC to offer premium subscriptions paid in Bitcoin [1].

The protocol’s versatility is further demonstrated by its ability to handle multiple currencies and on-chain transactions. Discussions are underway to expand NWC beyond the Lightning Network, potentially incorporating on-chain Bitcoin and stablecoins. Its role as a messaging layer allows it to adapt to evolving user needs and technological advancements [1].

Gaining traction in the developer community, NWC is being adopted in major projects and hackathons, including those by Geyser, bitcoin++, and Presidio Bitcoin. As it continues to evolve, NWC is helping to unify a previously fragmented landscape of payment systems, APIs, and custom integrations, offering a single, interoperable standard for Bitcoin-based transactions [1].

Source: [1] Nostr Wallet Connect is the USB-C Connector of Bitcoin Wallets (https://bitcoinmagazine.com/technical/nostr-wallet-connect-bitcoin-usb)