The rebranded social media platform, X, previously recognized as Twitter, has successfully acquired a regulatory license authorizing it to facilitate cryptocurrency payments within the United States.
According to information publicly accessible through the Nationwide Multi-State Licensing System (NMLS), X was granted the Rhode Island Currency Transmitter License on August 28.
With this Rhode Island license in its possession, X is now empowered to engage in legally sanctioned activities encompassing the “control of virtual currency or transactions in virtual currency,” both for its own operations and on behalf of others. This information is substantiated by an official document originating from the state’s Department of Business Regulation.
Under the ownership of Elon Musk, the CEO of Tesla and an avid supporter of Dogecoin, X has also recently secured money transmitter licenses from multiple states. However, the Rhode Island license stands out as the sole authorization explicitly covering cryptocurrency payments.
Source: Nationwide Multi-State Licensing System (NMLS)
X has also obtained licenses in various other states, expanding its regulatory reach to encompass Michigan, Missouri, New Hampshire, Maryland, Georgia, and Arizona.
X’s Cryptocurrency Strategy Remains Ambiguous
Speculation has persisted for a while that, led by Musk, X might embrace at least one form of cryptocurrency for transactions on the platform. However, this week’s announcement marks the initial confirmation that X possesses the requisite licenses to proceed with such plans.
Anticipations are high that the company will introduce fiat payment capabilities in the coming months, with a prevailing sentiment that cryptocurrency payments might follow suit at a later stage.
As reported by the Financial Times earlier this year, Musk has directed X’s staff to construct the payment feature in a manner that allows for potential integration of crypto payments down the line.
Boasting nearly 450 million active users, any decision by X to incorporate cryptocurrency payments into its platform would undoubtedly reverberate across the crypto market.
In previous instances, when X operated under the name Twitter, it dabbled in various experiments, including NFT integrations and facilitating tips via the Bitcoin Lightning Network.
