Rhode Island regulators have granted X (Twitter) a Money Transfer License, marking a move for the company into the financial services sector.
The license is legally required for companies that carry out financial activities on behalf of users that involve sending and receiving funds – a definition that includes both fiat and crypto assets. The approval will allow X to deposit, transfer and exchange digital currency.
X's Rhode Island Money Transfer License was approved on August 28 under the National Multistate Licensing System (NMLS).
The move marks an important step forward in Elon Musk's efforts to make X an "everything app" - including payments in cryptocurrencies and fiat.
While sources suggest that X's upcoming payments feature will initially only offer support for fiat currencies, Elon Musk has guided developers at X to build the platform's payment system. in a way that could add crypto functionality in the future.
The approval comes nearly two months after X got Money Transfer License in Michigan, Missouri and New Hampshire, all of which were approved on July 5. X's latest license marks seven states. US states where the company is licensed to transfer money.
It remains unclear exactly what financial services will be offered if and when X implements payment features.
People familiar with the company's plans have pointed out that X will initially offer a fiat currency trading service similar to PayPal - which Elon Musk co-founded - with room for future crypto integrations. .
Source: Cointelegraph
