In a recent development, Elon Musk has made a daring prediction about the future of financial institutions. He believes that X is set to revolutionize the industry and could potentially replace traditional banks by 2024.
What Happened: In an internal communication with X employees, Elon Musk laid out his ambitious plans for the company. According to a report by The Verge, Musk envisions X morphing into a comprehensive financial hub, eliminating the need for traditional banks.
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"If it involves money. It'll be on our platform. Money or securities or whatever. So, it's not just like send $20 to my friend. I'm talking about, like, you won't need a bank account,” Musk reportedly said.
Linda Yaccarino, CEO of X, agrees with Musk’s ambitious projection. The company is actively pursuing money transmission licenses throughout the United States to provide financial services.
Musk’s vision to transform X into a financial hub isn’t a recent development. He had earlier hinted at plans for X to offer high-yield money market accounts, debit cards, checks, and loan services, in line with his objective to make X an ‘everything app’, similar to super apps like China’s WeChat.
Nonetheless, Musk acknowledges the obstacles ahead. Earning the public’s trust and persuading them of the importance of such a platform are major challenges to be addressed.
Why It Matters: This development aligns with Musk’s earlier intentions of turning X into an ‘everything app’. Yaccarino confirmed the impending integration of several features, including payments. This would allow users to conduct financial transactions directly on the platform, inching closer to Musk’s goal of an all-in-one app.
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