Twitter working on payment tools to build an 'everything app'
Elon Musk is persistent in his push to reimagine Twitter as a payments platform. The social media company has started laying the groundwork to introduce payment tools, as per the Financial Times. The introduction of a payments feature would bring Twitter closer to Musk's dream of creating an "everything app." The project is being led by Esther Crawford, Twitter's director of product management.
Why does this story matter?
- Twitter is in dire need of a new revenue stream that can support the aspirations of its new management. So far, the company has been hemorrhaging money.
- Advertising revenue has continued to fall, and Musk's quest to diversify the microblogging platform's revenue sources is yet to take shape.
- Making Twitter a social media-cum-payments platform is expected to give it a much-needed monetary push.
Twitter has started applying for regulatory approval
The Financial Times reported that the company has already begun applying for regulatory licenses to operate across the US, which includes registering as a payments processor with the US Treasury and applying for state licenses. Twitter is also reportedly working on the software side of things and plans to complete the process within a year.
The feature will focus on fiat payments
Musk wants Twitter's payment tools to primarily cater to fiat currency payments. However, the company is expected to build the product in such a way that it can accommodate crypto payments in the future. The news of the social media platform's upcoming payments feature has led to an increase in the price of Dogecoin, a cryptocurrency that Musk has been associated with closely.
Musk has always dreamt of creating an 'everything app'
Musk has repeatedly talked about his desire to create an "everything app" — an app that has everything a person needs in their day-to-day life. An app like WeChat. His acquisition of Twitter was seen as the first step toward that. Adding a payment feature will play into that vision. "Buying Twitter is an accelerant to creating X, the everything app," Musk once tweeted.
Twitter is working on a feature called 'Coins'
Earlier this month, app researcher Jane Manchun Wong revealed that Twitter is working on a feature called "Coins." Connected to Twitter Awards, "Coins" will let users tip those who tweet great content. "Coins" will allow users to buy virtual coins with fiat currency, and they can redeem them to give creators an "Award." Creators will be able to withdraw the money in fiat.
