Elon Musk-owned social media platform X, formerly known as Twitter, is reportedly gearing up plans to launch its payment service in 2024.
According to independent app researcher Nima Owji who made this disclosure on X with an image attachment, he revealed that the company is working on adding a “Payments” button to the navigation bar under the bookmarks tab.
In a chat with Techcrunch, Owji said that he found references for new payment features, such as “transactions, balance, and transfer.” The latest findings are in line with Musk’s plan to launch the payment feature in mid-2024.
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Musk had earlier made this disclosure during a conversation with Cathie Wood of ARK Invest at an X space event in December 2023, in which he noted that he expects the payment services to be fully launched by the “middle of next year” (2024), pending the approval of several money transmitter license applications. Musk said he hoped to have launched payments on the social media platform sooner but had been weighed down by bureaucratic processes.
This new proposed feature will allow peer-to-peer payments, similar to services like Venmo or PayPal, which is part of Elon Musk’s vision to transform X into an “everything app”.
The platform has already obtained money transmitter licenses in a significant amount of U.S. states, a necessary step to process payments legally. This move marks X’s foray into the fintech space, aiming to compete with established players like Apple, and Google, amongst others. The company envisions a future where financial transactions are seamlessly integrated into a social media app.
By adding a peer-to-peer payment service on X, Musk seeks to achieve several key objectives;
1. Enhanced User Engagement: Integrating financial transactions with social media can increase user engagement by allowing users to handle more aspects of their daily lives within a single app. This aligns with Musk’s vision of making X a platform where users can manage social interactions, financial transactions, and other activities seamlessly.
2. New Revenue Streams: The payment service opens up new opportunities for revenue generation through transaction fees, partnerships, and other financial services. This can help diversify X’s income sources beyond advertising.
3. Competitive Edge: By entering the fintech space, X can compete with established players like PayPal, Apple, and Google. Offering integrated payment services can make X more attractive to users who prefer a one-stop solution for both social media and financial needs.
While the launch of a payment service is underway, Musk has dampened expectations regarding the immediate integration of cryptocurrency into X’s payment services.
As X navigates this new territory, users are closely observing how the platform will leverage its technological prowess to innovate within the financial sector. The company’s ability to integrate financial services with its existing offerings could create a seamless user experience that further solidifies its market position.