The transformation of Twitter does not stop at the name change. Since the acquisition of the social network for $ 44 billion in 2022, Elon Musk has drawn the contours of a much more ambitious platform. The latest development? X Money, a complete financial service that aims to replace your traditional bank account. The CEO of X and Tesla announced it bluntly during a meeting with its employees: ” When I speak of payments, I actually speak of a person’s financial life. If it involves money, it will be on our platform. »»
The return to the sources of a visionary of the Fintech
This announcement marks a homecoming for Elon Musk. Few people remember it, but Before Paypal, there was x.com. This online bank created by Musk in 2000 will later merge with the service of Peter Thiel to give birth to Paypal. “” The product plan of X/Paypal was written by myself and David Sacks in July 2000 “Recalls Musk. “” For any reason, once bought by eBay, Paypal not only implemented the rest of our ideas, but even deleted essential features. »»
Twenty-three years later, Musk intends to resume where he had stopped. X Money will not be limited to simple transfers of money with friends. The platform aims to offer high -performance savings accounts, debit cards, loan services and even investment portfolio management. A strategic partnership with Visa, announced in January 2024, poses the first stones of this ambitious building.
Can the WeChat model conquer the West?
The inspiration behind X Money is no doubt : WeChat, the Chinese super-applement which has 1.4 billion users. “” People literally live on WeChat in China because it is practical and useful in everyday life “Explains Musk. “” If we could achieve this with X, it would be a great success. »»
Linda Yaccarino, CEO of X, shares this enthusiasm. She promises that the partnership with Visa is only ” The first in a long series of important announcements concerning X Money this year. “The company is currently working on obtaining licenses necessary to offer financial services in all the United States, a process that Musk hopes to finalize” in the coming months. »»
However, the challenges remain colossal. User confidence, particularly undermined since the tumultuous repurchase of Twitter, will have to be returned. American and European financial regulations, much more strict than in China, constitute another major obstacle. Without forgetting the fierce competition of traditional banks and established fintechs such as Paypal, Cash App or Venmo.
The last piece of the “Everything app” puzzle
X Money represents the centerpiece of the “Everhything AP strategyp »D’Elon Musk. The social network has already started its diversification with the launch of audio and video calls in October 2023, then a TV application in September. The addition of complete financial services would mark a decisive development towards this super-application model.
The official X Money account, created in January 2024 and followed by 190,000 users, clearly displays its ambitions: “ For all your silver movements, powered by X, launched in 2025. If the initial calendar provided for a launch in 2024, the delayed delay testified to the complexity of the project.
- X Money aims to replace your traditional bank with complete financial services
- A partnership with Visa lays the foundations for this major transformation
- The launch is scheduled for 2025
