Would you trust Elon Musk’s X to be your new bank?

Elon Musk, the visionary billionaire behind Tesla and Neuralink, is setting his sights on a new industry: financial services. Now, Musk’s X (formerly Twitter) wants to be your new bank he eyes the expansion of the social network platform into a financial app similar to China’s WeChat super app.

According to a report from Bloomberg, X has secured payment licenses in 28 states and plans to expand globally after establishing itself in the US. The platform will soon feature capabilities for users to store money in their X accounts for seamless purchases and peer-to-peer transfers, with the ability to send money to friends on the horizon.

Musk has also floated the idea of offering an “extremely high yield” on account balances to entice users to keep their funds within their X accounts, Bloomberg reported.

“X has received payments licenses in 28 states so far, with plans to expand internationally shortly after getting up and running in the US. By the time people eventually start sending money to their friends through X, it will have been a multiyear effort.”

Musk’s ambition to transform X into a super app isn’t new. He hinted at this vision last year when rebranding Twitter to X, aspiring to create an “everything app.” In China, WeChat exemplifies this model, and Musk aims to replicate it internationally.

Late last year, Musk also revealed plans for X users to trade stocks and cryptocurrencies, further pushing X towards becoming the next WeChat. “X would become half of the global financial system, if done right,” Musk said late last year.

X CEO Linda Yaccarino also elaborated on X’s future, stating it will be “centered in audio, video, messaging, payments/banking,” and enhanced by XAI, a new AI startup aiming to “understand the true nature of the universe.”

“X is the future state of unlimited interactivity – centered in audio, video, messaging, payments/banking – creating a global marketplace for ideas, goods, services, and opportunities. Powered by AI, X will connect us all in ways we’re just beginning to imagine,” Yaccarino said.

However, X faces stiff competition. Other companies, including Meta Platforms Inc.’s Mark Zuckerberg, have attempted to create a “WeChat of the West” without success. Meta’s Messenger and WhatsApp, each with a billion users, have not achieved this vision.

Americans’ preference for specialized apps for distinct needs and existing competition from Venmo, Zelle, Cash App, and PayPal (which Musk co-founded) pose significant hurdles. Harshita Rawat, a senior payments analyst at Bernstein, emphasized the challenge: “It is very, very, very hard” to persuade people to switch banking services.

Nonetheless, Musk thrives on challenges, and transforming user behavior on a global scale will be critical for the success of his Everything app. The real test is just beginning.

Meanwhile, the X financial app is just the beginning. Musk has also hinted at other ambitious projects, including XMail as a potential Gmail alternative amid shutdown rumors, and the possibility of XPhone.