Rhode Island regulators have recently granted a currency transmitter license to X, formerly known as Twitter, according to information publicly disclosed on the Nationwide Multistate Licensing System (NMLS) dated August 28.
This development signals a notable step forward in X’s expansion into the financial services sector, specifically in the domain of digital assets. With this newly acquired license, X is now authorized to engage in various cryptocurrency-related activities.
The currency transmitter license is a regulatory prerequisite for companies aiming to conduct operations related to cryptocurrencies on behalf of their users. This license empowers X to perform functions such as storing, transferring, and exchanging digital currencies. Additionally, it enables the company to provide a comprehensive range of services related to crypto assets.
It’s important to emphasize that this license pertains to Rhode Island, one of the 50 states in the United States. This recognition adds X to the list of entities, including cryptocurrency exchanges, digital wallets, and payment processors, which are legally authorized to facilitate virtual currency transactions on behalf of others.
The transition from Twitter to “X” was announced by the company’s owner, Elon Musk, on July 23. This rebranding effort included a new logo and a gradual phasing out of the Twitter brand and its iconic bird icon. The transformation aligns with Musk’s vision to develop X into an all-encompassing application that serves various purposes.
As X ventures into the realm of digital assets with the currency transmitter license, it sets the stage for the company to further explore and provide innovative financial services within the cryptocurrency landscape.