Elon Musk's X Platform Set to Launch Financial Services Including Investments and Trading

X (formerly Twitter), the social media platform owned by Elon Musk, is poised to transform into a comprehensive financial hub, with chief executive Linda Yaccarino announcing plans to enable users to make investments and trades directly on the platform.

Speaking at the Cannes Lions advertising festival, Yaccarino outlined a vision where X becomes a one-stop shop for users’ financial lives, which will include financial investments and trading, potentially including cryptocurrency trading and transactions. This move aligns with Musk’s ambition to emulate China’s WeChat, creating an “everything app” that integrates messaging, payments, and commerce. The platform’s push into financial services signals a bold step toward diversifying its offerings amid ongoing challenges in its advertising business.

Yaccarino revealed that X users will soon be able to conduct a wide range of financial activities, from paying friends for shared expenses to executing investment trades. While it remains unclear whether cryptocurrencies like Bitcoin or Dogecoin, both famously supported by Musk, will be included at launch, the $3.25 trillion global crypto market makes their eventual integration likely. The platform is also exploring the introduction of an X branded credit or debit card, potentially rolling out as early as this year. These initiatives build on X’s earlier announcement of X Money, a digital wallet and peer-to-peer payment service set to debut in the United States before expanding globally.

A New Financial Ecosystem on X

X Money, developed in partnership with Visa, will allow users to purchase merchandise, store value, and tip creators on the platform. Recent reports indicate X has engaged with Stripe to explore stablecoin payments, with senior software engineer Payam Abedi leading the effort. This focus on innovative payment solutions underscores X’s commitment to creating a seamless financial ecosystem. However, the inclusion of other cryptocurrencies remains unconfirmed, leaving room for speculation about Musk’s plans given his vocal enthusiasm for digital assets.

The platform’s foray into financial services is not without hurdles, as it will face stringent regulatory requirements, including licensing and anti-money laundering compliance. These challenges come as X works to recover from financial setbacks following Musk’s $44 billion acquisition in 2022, which saw advertisers flee over concerns about content moderation and Musk’s controversial posts. Despite these obstacles, Yaccarino emphasized that a robust commerce and financial ecosystem, currently nonexistent on the platform, is on the horizon.

X’s advertising business, which remains its primary revenue source, has struggled to regain its 2022 levels of $4.1 billion in global sales. Yaccarino claimed that 96% of pre-acquisition advertisers have returned and that the platform is close to hitting its previous revenue targets. However, some advertisers at Cannes expressed skepticism, citing concerns about toxic content and pressure to resume ad spending. Reports of X threatening brands with lawsuits to secure ad deals were dismissed by Yaccarino as “hearsay,” though tensions with advertisers persist.

The platform’s broader strategy includes leveraging artificial intelligence to enhance its offerings, following its $45 billion acquisition by xAI, Musk’s AI startup, in March. Yaccarino highlighted that the integration of xAI’s technology has doubled the number of engineers working to improve X, particularly in delivering real-time advertising aligned with trending content. This AI-driven approach aims to bolster the platform’s appeal to both users and advertisers, even as it navigates a complex landscape of financial regulation and public perception.

As X prepares to roll out its financial services, the platform’s evolution into a multifaceted app reflects Musk’s long-term vision. The potential inclusion of cryptocurrencies could position X as a major player in the digital finance space, capitalizing on the growing global popularity of digital assets.