X is taking a giant leap in the financial technology sector by rolling out its own peer-to-peer payment service, directly competing with giants like Venmo and PayPal. The announcement, made via an official blog post, positions this move as a strategic enhancement to increase user utility and create fresh commerce opportunities. Elon Musk, the visionary behind X, has not set a firm launch date but hinted at a possible debut around mid-2024 in a discussion with Ark Invest’s CEO Cathie Wood.
This ambitious project is a part of Musk’s larger plan to morph X into an ‘everything app’, a single platform that combines social media, video streaming, and financial transactions. The concept is inspired by the success of China’s WeChat. X Payments has already made significant strides by securing the necessary licenses in over 30 states, indicating a strong commitment to this new venture.
Musk’s interest in digital payments isn’t new; he co-founded X.com in the late 1990s, which eventually transformed into PayPal. His acquisition of X in 2022 was a step towards integrating various communication and financial services. While X claims a massive user base of 500 million, analytics from Similarweb suggest more modest figures. Regardless, under Musk’s leadership, X is gaining significant traction, reflected in its record user engagement and the introduction of new features.