Global networks for crustal strain measurement provide important constraints for studies of tectonic plate motion and deformation. To date, crustal strain measurements have been possible only in terrestrial settings: on continental plates and island sites within oceanic plates. We report the development of technology for horizontal crustal motion determination at seafloor sites, allowing oceanic plates to be monitored where islands are not available. Seafloor crustal monitoring is an important component of global strain measurement because about 70% of the Earth's surface is covered by water, and this region contains most of the tectonic plate boundaries and zones of crustal deformation. Using the Global Positioning System (GPS) satellites and underwater acoustics, we have established a geodetic reference site on the Juan de Fuca plate at 2.6 km depth, approximately 150 km off the northwest coast of North America. We measure the baselines between this site and two terrestrial GPS stations on Vancouver Island, British Columbia. The Juan de Fuca plate site is an appropriate setting to develop seafloor observation methods, since it is a well studied area, easily accessible from west coast Canadian and United States ports. Determination of seafloor motion at this site addresses questions related to convergence between the Juan de Fuca and North American plates across the Cascadia Subduction Zone. At the Juan de Fuca seafloor geodetic reference site, we installed precision acoustic transponders on the seafloor, and measured ranges to them from a sound source at a surface platform (ship or buoy). The platform is equipped with a set of three GPS antennas allowing determination of the sound source position at times of signal transmission and reception. Merging the satellite and acoustic data allows determination of the transponder network location in global reference frame coordinates. Data processing to date suggests repeatabilities of ±0.8 cm north and ±3.9 cm east in the seafloor transponder network position relative to reference points on Vancouver Island.