Elon Musk’s social media platform, X (formerly Twitter), is set to make its debut in the financial services sector. The company recently announced a partnership with Visa, paving the way for its first-ever digital wallet, X Money. This collaboration will leverage Visa Direct, enabling users to fund their X wallets, link debit cards for transactions, and transfer money seamlessly back to their bank accounts.

X Money: A Step Toward a Financial Ecosystem

X CEO Linda Yaccarino confirmed in a post that X Money is expected to launch later this year. She stated that the partnership with Visa will provide users with secure and instant funding for their X Wallet, along with person-to-person payments using linked debit cards.

Additionally, users will be able to transfer funds directly to their bank accounts, making the service even more versatile. Yaccarino hinted at more major announcements regarding X Money in the near future, suggesting that this is just the beginning of X’s financial expansion.

Musk’s Vision for Financial Services on X

Musk has been vocal about integrating financial services into X ever since acquiring the platform. While the service is expected to launch in the United States first, earlier reports suggest that it will initially roll out to select states before expanding globally.

App researchers have already uncovered code within X, revealing upcoming features such as loading funds into an X Wallet and making transactions with other users. With these additions, X is gradually evolving from a social media platform into a multi-functional financial ecosystem.

How X Money Will Benefit Users

According to a CNBC report, one of the primary use cases for X Money will be supporting content creators on the platform. This feature will allow them to receive payments and store their earnings directly within their X Wallet, eliminating the need for third-party payment services.

X Payments LLC, the company handling the transactions, is licensed in 41 states and is also registered with the Financial Crimes Enforcement Network (FinCEN). This ensures that X Money operates within financial regulations, providing users with a secure and compliant payment experience.

Financial Struggles and Musk’s Concerns

Despite these new ventures, X is reportedly facing financial challenges. According to a Wall Street Journal report, Musk has been sending internal emails to X employees, admitting that the platform is “barely breaking even”. He acknowledged stagnant user growth and unimpressive revenue as key concerns.

“Our user growth is stagnant, revenue is unimpressive, and we’re barely breaking even,” Musk reportedly said.

Since acquiring Twitter for $44 billion in 2022, Musk has implemented significant changes, including removing free verification, introducing paid memberships, and rebranding the platform as X. Now, with the launch of X Money, Musk aims to transform X into a financial powerhouse while tackling the platform’s ongoing financial struggles.