X (formerly Twitter) is a multifaceted community platform with multiple functions, and the company led by Elon Musk has successfully obtained the necessary approvals to act as a payment hub in the United States. I’m taking
The move follows Grayscale’s victory over the U.S. Securities and Exchange Commission on August 29. Furthermore, this follows the January 2022 approval of the social network to use NFTs as profile pictures.
X obtained a money transfer agent license (CTL) from the State of Rhode Island on August 28, as shown in the National Multistate Licensing System (NMLS) records.
🚨BREAKING: Twitter (X) Gets License To Add Cryptocurrency Payments. It could bring the ability to send and receive cryptocurrencies to millions of users around the world. pic.twitter.com/oYpVM0oEm7
– Coingraph | News (@CoingraphNews) August 29, 2023
Rhode Island, officially known as Rhode Island and Providence Plantation, is the smallest of the 50 US states. Located on the east coast of New England, this island, despite its name, is not a real island and is almost twice the size of Phoenix, Arizona.
Overview of “Currency Remittance License”
CTLs are typically required for companies that offer services such as cryptocurrency exchanges, digital wallet providers, and payment processors. We ensure that these companies comply with relevant regulations and follow Anti-Money Laundering (AML) and Know Your Customer (KYC) procedures to prevent illegal financial activities.
This official approval will allow Twitter to offer a range of services that are strongly tied to virtual assets. Within this scope, X is authorized to facilitate the management, transfer and exchange of digital assets on behalf of its broad user base.
With around 450 million active users, X is well positioned to incorporate cryptocurrency payments. Twitter’s massive user reach could change the way people use digital currencies in their everyday financial transactions.
SHIB currently has a market capitalization of $4.8 billion. Chart: Tradingview.com
The development is the next step in a series of strategic operations by the platform following its successful acquisition by billionaire Elon Musk last October.
The company’s progress is a major step forward in reshaping digital platforms and their impact on people’s lives by merging the social and financial dimensions.
Relationship between Elon Musk and cryptocurrencies
Elon Musk has been interested in virtual currencies such as Bitcoin and Dogecoin since around 2021 and expressed his support for them on Twitter. Since acquiring Twitter, he has added cryptocurrencies to the mix as part of his effort to make the platform a place where users can do more money-related things.
Musk’s largest company, Tesla, is said to have about 10,725 bitcoins as part of his wealth. Dogecoin enjoys a strong following from big names in the tech industry, which is usually a factor that directly and favorably influences MemCoin’s price.
Rhode Island License: Blueprint for Cryptographic Entries After X
Many cryptocurrency fans were hoping to finally get these licenses from X. According to Coinmarketcap data, the revelation has had a modest impact on the Shiba Inu-themed meme coin, which saw him gain more than 5% in the market. Last 24 hours.
A Rhode Island license goes far beyond simply being a legal requirement from the state. This is a strategic decision that aligns with Elon Musk and Twitter-X’s broader goals.
Given that such projects typically come with regulatory scrutiny, the approval could also serve as a template for other social media organizations looking to enter the cryptocurrency market.
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