Elon Musk’s Social Networking Company announced Tuesday that he assured Visa as his partner for his next “X Money” Digital Payment Service, taking the most tangible step so far in the creation of an “application for everything”, Although the Musk company will enter a crowded field that includes PayPal Venmo.
Key data
The Visa payment giant will be the “first partner” of X Money for the service that will debut at the end of this year, according to the executive director of X, Linda Yaccarino, who added that X Money will connect to the debit cards visa and offer an option for “instantaneous” bank account transfer.
In a monitoring publication on the platform, Visa said it will allow US users of the next service “finance and transfer money in real time with their debit card.”
Yaccarino said that the association with visa is the “first of many great ads about X Money this year” for the company’s payment service, which joins a space already dominated by three names: Venmo, Cash APP of Block and Zelle , which is a joint property of seven American banks, including Bank of America and Jpmorgan Chase.
Yaccarino did not share information about what will differentiate X Money from the established competitors of pairs, in addition to the service is native to a non -financial application, although CNBC reported that X Money will allow creators to receive payments for their monetized content and store those funds directly in X instead of a bank, an anonymous source told the publication.
And the agreement with Visa is “another milestone for EveryTHing App,” said Yaccarino, winking to the ambitions of the richest man in the world, Musk, of transforming X into a comprehensive service since he bought the company then known as Twitter in 2022 .
Cita Crucial
X can “become the world’s largest financial institution,” Musk yearned in a March 2023 interview, exposing a vision of what is now X Money, which includes “with one click” transactions and accounts that generate interests.
Key history
At that time it was not clear what Musk’s criteria was to measure the world’s largest financial institution, but X is still still a long way ahead to even make their way as the largest pair payment processor. The Mercado Research Emarketer estimates that Zelle will have 97 million US users in 2025, followed by the 76 million avemo and the 55 million Cash APP. Only around 55 million Americans use X, according to Edison Research, which, which It means that even if a large part of those users go to X Money, it is likely that the penetration of the service in the US market is still far behind its competitors. Even so, the next launch of X Money is an example of Musk’s effort to keep users in X beyond the traditional social media site, with the Grok generative artificial intelligence platform of its Startup XAI also on the platform.
What we don’t know
If X Money charges commissions for instant transfers, both Cash App and Venmo stay with a part of instant transfers to financial institutions, while Zelle, which operates directly through bank accounts, does not.
Tangent
Musk had his great opportunity in the space of digital payments, since the startup of Banco Digital X.com that he co -founded was Paypal’s predecessor, which made Musk one of the main members of the “Paypal mafia”, which It includes billionaire Peter Thiel and the “Tsar of Artificial Intelligence and the cryptocurrencies” of President Donald Trump, David Sacks. And the Cash APP matrix company, Block, is directed by Jack Dorsy, the Twitter co -founder billionaire.
This article was published in Forbes Us.
You may be interested: these are the characters that paid tribute to Trump in Mar-A-Lago since their choice
