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Sorry, Dogecoin fans: Elon Musk’s Twitter payments plan doesn’t include cryptocurrencies
It appears that Twitter users (aka X) will not be able to use the platform to send or receive cryptocurrencies, at least not anytime soon.
Cryptocurrency enthusiasts have long speculated whether Elon Musk, a major proponent of cryptocurrency Dogecoin meme coin— would integrate digital tokens into the platform as it aims to build a “all app.” However, new regulatory filings show that while Musk is indeed moving to launch a payments servicedoes not seem to have cryptocurrencies in its sights, For Bloomberg.
What the documents reveal, rather, are plans for a subsidiary called X Payments, which has been approved for money transfer licenses in 28 states, with licenses also required in the remaining states. X Payments may provide a payment functionality for users similar to Venmo or Zelle.
It may be that cryptocurrencies will be integrated into the payment system at a later date Dogemoneta supporters continue to have hope. To be sure, X Payments’ goals aren’t entirely clear from the documents and statements released by Musk and Twitter CEO Linda Yaccarino.
X has declared to the regulatory authorities that seeks “greater participation and involvement” by users through its payment platform and which provides to charge only “de minimis commissions” at the time of launch.
At the same time, the company’s revenue fell 40% year over year for the first half of 2023 after Musk completed his purchase, and Twitter may have to make up the lost revenue through new ventures.
Greater engagement may also be a lot to ask for, as customers are notoriously loyal to banking and payment services. Tech leaders, including Google and Apple, have notoriously struggled to gain traction with in-house payment platforms.
However, Musk remains a crypto enthusiast. In addition to the previous Dogecoin price spikes that he caused with a series of tweets Tesla’s once-massive Bitcoin stashMusk has reportedly spent years exploring the potential for crypto payments.
Meanwhile, in the midst of Twitter payments reports, Dogecoin is down 12% over the past week.
Yaccarino said in an interview Monday that Twitter’s payment platform is coming “soon” and that the company’s “financial ecosystem” will launch in the United States for the first time.