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X partners with Visa to introduce a digital wallet

Wednesday 29 January 2025 11:39 CET | News

Social media platform X has announced the launch of a digital wallet and peer-to-peer payment service in partnership with Visa.

 

The collaboration makes Visa the first financial partner for the new offering, known as the X Money Account. The service will allow X users to transfer funds between traditional bank accounts and their digital wallet, as well as conduct real-time peer-to-peer transactions, similar to existing platforms such as Zelle and Venmo. 

The initiative marks the first major step by X toward integrating financial services into its social media ecosystem. When Elon Musk acquired the platform, then known as Twitter, for USD 44 billion in 2022, he described his vision of transforming it into a multifunctional application. He later suggested that the platform could evolve to handle a wide range of financial transactions. 

In 2021, under then-CEO Jack Dorsey, Twitter introduced a bitcoin tipping feature that allowed users to link their crypto wallets and receive payments in bitcoin. However, expanding into broader financial services in the US has required X to navigate regulatory requirements for money service businesses.

 

Social media platform X has announced the launch of a digital wallet and peer-to-peer payment service in partnership with Visa.

 

Obtaining licences

Over the past year, the company has been securing the necessary state licences. According to its website, X Payments LLC is currently licenced in 41 states and is registered with the Financial Crimes Enforcement Network (FinCEN). 

The X Money service is scheduled to launch in the first quarter of 2025, with additional financial partnerships anticipated. A source familiar with the matter cited by CNBC indicated that one of the initial applications will enable content creators on X to receive payments and manage funds directly within the platform, reducing reliance on external financial institutions. 

In a November 2022 meeting with advertisers, which was publicly broadcast, Musk suggested that future iterations of X’s payments service might incorporate banking features, including a high-yield money market account.


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Keywords: partnership, payments , product launch, digital wallet
Categories: Payments & Commerce
Companies: Visa, X
Countries: United States
This article is part of category

Payments & Commerce

Visa

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