To enable this, won't coinbase need its own check-collection and clearing system? Is it allowed to do this in the USA as a non-banking corporation? Also, What does "paycheck" mean here? Who gets salaries as checks in 21st century?
I think one of the important use-cases that Coinbase is trying to capture is people trying to invest in Alt-coins listed on Coinbase. A lot of people don't want to go through converting USD from banks to BTC and then pay the fee for further bridging to Alts or other chains. Once the funds are directly on coinbase, they can easily change to Alts or Bitcoin as they desire. IMO, This is just a smart additional step to make it easier to onboard customers.
A lot of payroll services just ACH your pay into your checking/ savings account on payday. There is no physical check. The process for them to put it into your account at your bank or your cash account at Coinbase is the same. All I am saying is that Coinbase is known to have bad customer service, if you are supposed to get paid on Friday and there is no money in your Coinbase account and your payroll company says "we sent it, check with your bank" it's just going to be a miserable time.
Let's assume for a second that there's no issue with their support or you're just dealing with Gemini, how much [or a rough percentage] a US-based customer could save by opting for the Coinbase route?
Nothing as far as I can tell, from my checking account to coinbase is a free transfer. No place did they say that by doing this are you going to get a better rate, or if they did say it I missed it.
-Dave