TRENDING: Elon Musk of the "X" app may implement his own COIN soon: Check Facts and Reasons.

 

X, the social media platform owned by Elon Musk and formerly known as Twitter, has secured payment licenses in multiple U.S. states in recent months, including a currency transmitter license in Rhode Island. While Musk has hinted at supporting cryptocurrencies on the platform, these licenses go beyond that, enabling a broader range of payment services.

Elon Musk has expressed his vision for X to evolve beyond social media into an "everything app." The money transmitter licenses obtained since June from states like Arizona, Maryland, Georgia, Michigan, Missouri, and New Hampshire suggest that Musk may be planning to offer nationwide payment processing services akin to Venmo or PayPal, a company he co-founded. Notably, the Rhode Island license, while necessary for facilitating payments, is also a requirement for offering cryptocurrency services.

Musk has previously stated, "I think a new social media company is needed that is based on a blockchain and includes payments." Rhode Island's Department of Business Regulation clarifies that the licenses are necessary for businesses transmitting money for customers, encompassing traditional wire transfers (e.g., Western Union) and electronic transfers (e.g., PayPal). These licenses are also pertinent for conducting cryptocurrency exchange and custody activities, with certain exceptions for fintechs that are registered as agents of licensed currency transmitters.

While the licenses pave the way for cryptocurrency payments, they are not limited to this service alone. In New Hampshire, "money transmission" includes engaging in the sale or issuance of payment instruments or stored value, as well as receiving currency for transmission. The state also considers administrators or exchangers dealing with convertible virtual currencies as money transmitters under federal regulations.

It's worth noting that companies like Western Union and PayPal hold similar state licenses, tailored to the range of services they provide and the states they operate in.