X Corp has obtained money transmitter approval in Utah, marking its progress toward Elon Musk’s comprehensive “everything app” vision. This makes Utah the fifteenth U.S. state to grant X Corp a money transmitter license, as the company systematically secures approvals across the country in preparation for the initial rollout of peer-to-peer payments within its app.
The money transmitter license allows X to facilitate funds transfers between senders and recipients, serving as a crucial step towards establishing a peer-to-peer payment network. However, X faces the challenge of obtaining full approvals from each U.S. state before realizing this functionality. Elon Musk acknowledges the time-consuming nature of this process, emphasizing the need for patience.
Elon Musk (Credits: Business Insider)
Furthermore, international approvals for payments present additional complexities, as demonstrated by Meta’s experiences. Despite these challenges, X is forging ahead, aligning with Musk’s broader x.com vision. The company recently outlined plans to offer full payments and banking services within the X platform by the end of 2024, emphasizing the urgency to work towards ambitious goals.
Musk’s vision for x.com, conceived with David Sacks at PayPal in 1999, envisions a single platform facilitating various financial transactions, including bill payments, banking, and shopping. Payments are considered the initial step towards a broader offering, echoing Musk’s long-standing commitment to transforming online interactions.
While Musk aims for X Corp to secure money transmitter approval from all U.S. states in the coming months, skepticism surrounds the ambitious goal of rolling out payments by the end of the next year. The comparison with Meta’s struggles in establishing its in-app payments network, even with a former PayPal executive at the helm, highlights the complexities of navigating the modern regulatory landscape.
Despite the potential advantages gained from Musk’s experience with PayPal, X Corp faces similar challenges and uncertainties regarding the widespread adoption of its payment offering. As X moves forward, only time will reveal whether Musk’s optimism will translate into the successful realization of the company’s vision.
