X, the social media platform, is finally set to launch its long-awaited payments service, X Money, later this year. According to X CEO Linda Yaccarino, the service will debut with Visa as its first partner, enabling users to make instant bank transfers and peer-to-peer (P2P) payments.

The partnership with Visa will allow X Money users to access "secure + instant funding to your X Wallet via Visa Direct," as stated by Yaccarino. This functionality is reminiscent of popular payment apps like Venmo. The X Money profile has confirmed that the service is "launching in 2025."

X has already obtained money transmitter licenses in 41 US states, as listed on the X Payments website. Although the website currently lacks detailed information, Bloomberg reported in June 2024 that X Payments has banking agreements with Citibank and payment providers like Stripe and Adyen.

The introduction of a payments system is a critical component of X owner Elon Musk's vision to transform the platform into an "everything app." Shortly after acquiring X (then Twitter) in October 2022, Musk outlined plans to turn it into a bank offering high-yield money market accounts, debit cards, checks, and loan services. Musk had previously expressed his expectation that X would roll out financial services by the end of 2024, stating that it would "blow my mind" if this didn't happen.

Yaccarino has hinted that the Visa partnership is just the beginning, with "many big announcements" about X Money to be made this year. It remains unclear whether the service will be directly connected to X's creator revenue sharing program. The launch of X Money comes at a critical time for the company, as it struggles to generate revenue amidst reports that banks are preparing to sell off some of the $13 billion debt Musk borrowed to acquire the platform.

X's financial situation was highlighted in an email to employees earlier this month, where Musk stated that the company is "barely breaking even." The launch of X Money could be a crucial step towards improving the platform's financial health and achieving Musk's goal of creating an "everything app."

As X continues to navigate its financial challenges, the successful launch of X Money will be closely watched by investors and users alike. With the partnership with Visa, X has taken a significant step towards expanding its services and becoming a more comprehensive platform. As Yaccarino hinted, there may be more announcements to come, and the tech industry will be eagerly awaiting further developments on X Money.