Elon Musk’s social media platform, X, has announced a strategic partnership with Visa to integrate its services into X Money, a new financial feature that will enable users to link their debit cards, make peer-to-peer (P2P) payments, and transfer funds instantly to bank accounts.
Linda Yaccarino, Chief Executive Officer of X Corp, highlighted Visa’s role as the first partner in this initiative.
“Another milestone for the Everything App: @Visa is our first partner for the @XMoney Account, which will debut later this year, allows for secure + instant funding to your X Wallet via Visa Direct, connects to your debit card allowing P2P payments. Option to instantly transfer funds to your bank account. First of many big announcements about X Money this year,” she stated.
X’s Vision for an “Everything App”
Musk has long envisioned transforming X (formerly Twitter) into an all-encompassing platform that combines messaging, social networking, and financial transactions.
• In October 2023, Musk shared his ambition for X to become a central hub for users’ financial activities, aiming to provide comprehensive financial services that could eventually replace traditional bank accounts.
• His broader goal is to turn X into a one-stop platform for online shopping, P2P money transfers, and in-store payments.
Despite these ambitions, X faces competition from well-established payment services such as PayPal’s Venmo, Zelle (backed by major banks), and Apple’s Wallet service.
Expanding X’s Financial Ecosystem
X Payments has been actively working toward regulatory approval since Musk acquired the company in 2022.
• According to the company’s website, X Payments now holds money transmitter licenses in 41 U.S. states, marking significant progress toward becoming a fully licensed financial service provider.
• Musk has repeatedly emphasized the need for X to diversify its revenue streams beyond advertising, which has historically been the platform’s primary source of income.
“X needs revenue other than advertising, which has historically made up the majority of sales but has slowed considerably since he took over,” the company explained.
Musk has also expressed his ambition to turn X into the largest financial institution in the world. He has publicly discussed offering users an “extremely high yield” on money stored in their X accounts.
As part of its evolving financial ecosystem, X plans to introduce a digital dashboard on its website and mobile app. This feature will serve as a centralized hub for managing financial activities, including sending and receiving money, storing funds, and tracking transactions.
The partnership with Visa marks a crucial step in Musk’s vision of transforming X into a dominant player in the financial technology space.
