There has been a new development regarding the payment company X Payments, which will be included in the social media platform formerly known as Twitter and whose name was changed to X after Elon Musk's acquisition.
According to the latest information, X Payments will most likely not support cryptocurrency payments at launch. The company has not yet applied for the necessary virtual currency licenses that would allow its products to include virtual assets.
Today, X Payments was granted a Check Sales and Money Transmitters license for Louisiana. However, Louisiana also requires a Virtual Currency Business License for products involving crypto assets, such as those offered by Robinhood, PayPal, Coinbase, and eToro. All of these companies have this operating license in addition to the Money Transmitter license.
It appears that X Payments has not applied for these operating licenses. If they had applied, this license would have been granted to them along with the Money Transmitter License granted today.
The situation is similar in New York state, which requires two different licenses for companies. The New York State Department of Financial Services confirmed in an email that X Payments has not yet applied for a virtual currency license.
Elon Musk has previously stated that New York and California are the most difficult states to obtain approval. It is hoped that X Payments has already applied for Money Transmitter Licenses for New York, but they may not have pursued the virtual license as they likely would not support it initially.
*This is not investment advice.