X Money was unveiled Tuesday by Elon Musk’s X, a Weibo platform formerly known as Twitter. The new digital wallet and payment services are designed to enable users to send and receive funds in peer (P2P) systems. Users will be able to transfer funds from their bank account to a digital wallet, and then transfer funds to another wallet on the platform. X Money will work with US-based payment company visas, and the service is expected to compete with apps like CashApp, Venmo and Zelle.
xFunds directly transfer by using visa
X CEO Linda Yaccarino announced details of the new platform on Tuesday, noting that support for X currency accounts will arrive “later this year.” She added that the platform partnered with Visa and users will be able to use Direct Visa Direct to transfer funds to their “X Wallet” immediately. These funds can be used to make P2P payments to the service.
In addition to transferring funds to digital wallets, the CEO said in the post that X Money will allow users to link their debit cards to their accounts and make P2P payments on the platform. From CashApp to Venmo (and even Apple Pay Cash), P2P payments are currently supported by a variety of applications in the United States.
Users also have the option to transfer funds (presumably from X Wallet) to their bank account. The company has no news about exactly when U.S. users can use X funds. Visa said in a post that US-based X Money account users will be able to use debit cards for real-time transfers.
One step closer to “all applications”
After buying Twitter and rebranding its brand, Elon Musk has a clear plan for the platform. The Billionaire plans to build X into a “all app” inspired by Chinese apps such as WeChat, and support payments, purchases, messaging and other features.
Over the past few years, X has been working to increase support for digital payments. In December 2023, Musk told ARK Invest’s Cathie Wood that X would need approval in a license in several U.S. states before it could begin operating as a currency transmitter.
As of Wednesday, the payment platform’s support documents showed that X had obtained a license in 41 states and that X Payments LLC was also registered as a Money Services Business (MSB) through the U.S. Financial Crime Enforcement Network (FINCEN).
X Money can eventually compete with PayPal, a payments service company formed in 2000 after the merger with Elon Musk-Run X.com Bank. Billions are planning to launch a payment platform in two decades, and they can eventually launch the payment platform and eventually launch X Money later this year.
