Abu Zar Mishwani
Elon Musk’s company, X, has obtained a special license in a U.S. state that allows it to handle digital money on the microblogging platform.
This means that the social networking site, previously known as Twitter, might soon let people use cryptocurrencies and regular money for transactions.
This license allows the company to manage, transfer, and convert digital currencies securely.
After purchasing X last year, Musk expressed his desire to turn it into a versatile “everything app.” He envisions X as a space where users can not only chat and share but also potentially handle financial transactions down the line.
Reportedly, as per CoinTelegraph, X has successfully obtained a currency transmitter license in the state of Rhode Island. This license is necessary for companies involved in money transfers within the United States, in accordance with the report.
The payment functionality on X is rumored to begin by supporting transactions in traditional fiat currencies initially. As the platform undergoes further development, there are suggestions that it might eventually expand to include the capability to send and trade cryptocurrencies as well.
On Wednesday, the cryptocurrency market experienced a favorable response. Overnight, the overall value of the crypto sector surged by 4%, reaching a total valuation of $1.09 trillion, as reported by CoinMarketCap.
In light of this development, Elon Musk’s favored alternative cryptocurrency, Dogecoin, saw its value increase by more than three percent, reaching a trading price of $0.066. Interestingly, Elon Musk has not made any public statements or posts regarding his company’s acquisition of the license.
It’s worth mentioning that Rhode Island isn’t the sole U.S. state to grant X the money transmitter license. Earlier this year, states including Michigan, Missouri, and New Hampshire, among others, also gave their approval for this license to X. This development marks Rhode Island as the seventh state to do so, as reported by CoinTelegraph.