MagicSpend, also known as Pay with Coinbase, allows smart wallet users to spend funds directly from their connected Coinbase accounts without holding funds in their wallet. This lets users complete their transaction in fewer steps, and prevents them from getting stuck if they run out of gas or don't have enough funds in their wallet to complete a transaction.
To enable magic spend:
Go to keys.coinbase.com/settings and select Connect next to Pay with Coinbase.
Connect your Coinbase account by signing in with your email.
When you initiate a transaction in an app that supports MagicSpend, select your payment method in the transaction confirmation screen and select Coinbase.
You can now spend directly onchain to the app without having to fund your wallet first.