Cryptocurrency NewsTwitter receives money transmitter licenses in 3 US states

Twitter receives money transmitter licenses in 3 US states

Twitter has recently obtained licenses to operate as a money transmitter in Michigan, Missouri, and New Hampshire, according to records in the Nationwide Multistate Licensing System database. The approval of these licenses, granted between June 29 and July 3, 2023, demonstrates Twitter’s commitment to meeting regulatory requirements in these states. The social media platform intends to expand its services into the realm of payment services.

Although the licenses in Michigan and New Hampshire are called “Money Transmitter Licenses,” the one in Missouri is referred to as a “Sale of Checks and Money Transmitter License.” However, this naming difference is specific to each state’s terminology and does not reflect different planned services.

By acquiring these money transmitter licenses, Twitter gains authorization to provide transfer services or payment instruments. These licenses primarily focus on ensuring consumer protections for businesses involved in the secure transmission of funds between parties, going beyond simple product and service purchases.

While the exact details of Twitter’s payment service, known as Twitter Payments, are yet to be unveiled, the company’s license applications in all 50 US states demonstrate its ambition to expand nationwide.

If and when Twitter Payments is launched, the money transmitter licenses will enable the platform to handle customer transactions, potentially offering services similar to other non-bank platforms such as Stripe, Venmo, and PayPal.

Twitter has been actively pursuing licenses for its payment services, indicating its commitment to entering this space. In November 2022, the company applied for money service business licenses with the Financial Crimes Enforcement Network (FinCEN), expressing its intention to operate across all US states and additional territories.

This move towards payment services aligns with Twitter CTO and executive chair Elon Musk’s vision of transforming Twitter into an “everything app.” Reports suggest that Musk, who rebranded Twitter Inc. as X Corp in April, has been leading efforts to explore digital payments. Although it remains uncertain whether Twitter’s payment plans will involve cryptocurrency-related services, the platform has supported crypto tipping since at least February 2022 and introduced features like NFT profile pictures.

It is worth noting that former Twitter CEO Jack Dorsey is involved with Block Inc., which offers the Square payment app supporting both traditional fiat payments and cryptocurrencies.


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