In another significant step marking its expansion into the financial services sector, X (formerly Twitter) has obtained a financial services license in another state in the U.S. According to public records, X, via its subsidiary Twitter Payments, secured a currency transmitter license from the government of Rhode Island on August 28, 2023.
The Rhode Island currency transmitter license empowers X to conduct a wide range of financial transactions on behalf of its users. The licence covers activities such as storing, trading, and transferring assets, including traditional fiat money as well as digital assets like Bitcoin (BTC) and Ethereum (ETH).
While the social media giant has already obtained similar licenses in six other U.S. states, this move highlights the company’s ambitions under the ownership of Elon Musk. Musk envisions transforming the platform into an “everything app” that facilitates diverse financial transactions.
— Elon Musk (@elonmusk) August 23, 2023
Although specific services have yet to be officially announced, insiders suggest that the initial focus will be on fiat currency transactions.
Given Musk’s well-known interest in cryptocurrencies, evident from his endorsements of Bitcoin and Dogecoin (DOGE) in 2021, industry experts anticipate the platform’s gradual inclusion of digital currencies. In April 2023, X reportedly partnered with fintech firm eToro to introduce features enabling the platform’s users to trade cryptocurrencies and stocks.
Also, before now, X had dabbled into the digital asset space when it introduced features that allowed users to showcase NFTs as profile pictures through its subscription product, Twitter Blue.
The strategic acquisition of currency transmitter licences signals X’s transition from being primarily associated with digital collectibles to a broader financial ecosystem that covers various asset classes.
With an existing user base exceeding 400 million, these license acquisitions will have substantial implications. Beyond expanding financial services to a sizable population, X’s foray into this domain has the potential to shape global public opinion and regulatory discourse in the financial and cryptocurrency sectors.
If you want to read more news articles like this, visit DeFi Planet and follow us on Twitter, LinkedIn, Facebook, Instagram, and CoinMarketCap Community.
“Take control of your crypto portfolio with MARKETS PRO, DeFi Planet’s suite of analytics tools.”
