- X Corp has recently made remarkable progress in acquiring money transmitter licenses for its payments feature.
- The crypto community is increasingly excited about digital assets entering the P2P system.
- However, there appears to be a crucial piece missing from the puzzle.
Elon Musk’s X (formerly Twitter) is soon to roll out its highly anticipated in-app payment feature as it sets the stage for its grand debut by securing essential licenses. Given Chief Twit’s pro-crypto inclinations and affinity for Dogecoin, the crypto community is optimistic about the prospect of digital assets also finding their place in Musk’s all-in-one app.
However, while X lays the groundwork for its upcoming peer-to-peer (P2P) financial ecosystem, there looms a lingering sense of uncertainty surrounding cryptocurrencies making it into the app.
X Payments Yet to Apply For Crypto License
X Corp has been making remarkable progress lately, acquiring money transmitter licenses across various US states in preparation for the launch of its X payments feature. At the time of writing, X has secured licenses in 22 out of the 50 states, with New Mexico, Oregon, and Illinois being the latest additions to the list.
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The crypto community, especially Dogecoin holders, is becoming increasingly excited with each state added to the list as they anticipate the integration of crypto into the social media app.
However, while expectations reach unprecedented heights, a crucial piece seems to be missing from the puzzle: a Virtual Currency Business License or the BitLicense.
Under the New York Banking Law and similar regulations in states like Louisiana, businesses like X Corp must acquire a separate BitLicense, in addition to the money transmitter license, to engage in virtual currency-related activities such as cryptocurrency transmission.
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Although X Corp has applied for money transmitter licenses in these states, it has yet to apply for a virtual currency license in jurisdictions requiring one. Meanwhile, its competitors, including Robinhood, PayPal, Coinbase, and eToro, have already obtained virtual currency business licenses.
The lack of an application for the virtual currency license from X Corp pours cold water on the ambitions of crypto enthusiasts, particularly Dogecoin holders.
Dogecoin’s Support on X Payments Uncertain
Given Musk’s vocal support for Dogecoin, often heralding the top dog coin as the ‘people’s crypto,’ DOGE stood as a prime candidate for integration into the X payments feature.
Naturally, Dogecoin’s market value has consistently responded positively to any upcoming X payment feature updates, fueled by anticipation of the memecoin being included in the app. Previously, when the social media giant announced receiving approval in the most recent three rates, DOGE surged by a remarkable 10%.
However, crypto enthusiasts might have to reconsider their enthusiasm, considering the absence of applications to set the legal groundwork for integrating cryptocurrencies in the X Payments app.
On the Flipside
- X recently struck a deal with eToro to enable users to buy digital assets on the social platform via plugins.
- The X Payments feature is scheduled for release in mid-2024, leaving a window of opportunity for the social media giant to potentially apply for crypto integration.
- Dogecoin is up 200% this year.
Why This Matters
As a social media giant with billions of users, X had a golden opportunity to drive crypto adoption and reshape the industry by integrating cryptocurrencies into its payments feature. However, the lack of applications to handle digital assets suggests the social media giant isn’t satisfying the expectations of crypto enthusiasts anytime soon.
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