- The X-Corporation is continuing to transform its social media service of the same name into an all-in-one app.
- In the future, customers will be able to trade stocks and cryptocurrencies directly from the app.
The new function is based on so-called Smart Cashtags and will be introduced gradually over the coming weeks.
X-Product Manager Nikita Bier clarifiedthat the company will not act as a broker itself. You just want to initiate the trade, while its practical execution will continue to take place via external partners.
Smart cash tags as an introduction
The new function expands the already known cash tags $BTC and $TSLA with interactive elements. In the future, customers will see real-time charts, price data and financial information directly in the feed. Tapping or clicking on “Buy” or “Sell” takes you directly to a connected broker or crypto exchange.
X itself does not process any orders or hold any trading licenses, but rather acts as an interface between social media and financial service providers.
The goal is the all-in-one financial app
The trading initiation is another building block in Elon Musk’s long-term strategy to expand X into an “all-in-one app”. At the same time, the company is working on X Money, a peer-to-peer payment system that is already being tested in the USA.
X cooperates with VISA and develops its own wallet infrastructure. The integration of financial data, payments and trading functions is intended to turn the service into a communications, media and financial service provider.
Spam and manipulation warning
Despite the ambitious plans, Nikita Bier publicly expressed concerns about possible side effects. He warned of an increase in crypto spam, aggressive advertising accounts and coordinated pump-and-dump attempts that could harm customers.
X already has to defend itself against botnets and questionable financial influencers who exploit certain trends to manipulate inexperienced investors. Product manager Bier emphasized that the implementation must be carried out carefully in order to prevent misuse and not to endanger the quality of the social media service.
After the new in-app trading function was announced, there were immediate rumors that the X-Corporation would become a broker itself and set up its own crypto exchange.
Bier immediately contradicted this and made it clear that the company itself would not execute any trades and that it would not manage customer funds. X remains an intermediary who promotes the trade but does not carry it out himself.
This means that X-Corporation bears no risk when it comes to regulation, while at the same time they open up and earn new revenue models through partner programs and traffic redirects.
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