X Beta Tests New Encrypted Chat, Paving Way for X Payments

X Launches Beta Test for New Encrypted Chat Feature

X (formerly Twitter) is rolling out a beta test for its redesigned chat experience, called X Chat. This update emphasizes enhanced privacy with encryption as a core element. App researcher Jonah Manzano shared early examples of the new interface, which requires users to set up a four-digit code for added security.

See examples of the new X Chat interface.

X Chat Paves the Way for X Payments

This enhanced security in direct messages (DMs) suggests that X is preparing for its anticipated in-app payments feature, X Payments. This feature aims to provide users with greater assurance when sending and receiving money within the app.

X owner Elon Musk has reiterated his vision for X to become a Western version of WeChat, the Chinese multi-purpose app that integrates messaging, payments, and other services. This aligns with Musk's long-standing ambition to create an all-in-one platform.

When people’s savings are involved, extreme care must be taken.

Challenges and Uncertainties for X Payments

While the concept of integrating social media and payments seems logical, similar attempts in Western markets have faced challenges with consumer adoption. Meta's attempt to revamp Messenger with payments functionality ultimately fell short, highlighting the difficulty of changing user behavior.

X also faces regulatory hurdles in obtaining payment processor licenses. Applications have been rejected in some U.S. states due to concerns about X's ownership and ties to the Kingdom of Saudi Arabia.

Furthermore, X's declining user base presents another challenge. Even if X overcomes regulatory obstacles and implements seamless payments, its shrinking audience could limit the impact of this new feature.

The Future of X Chat and X Payments

Despite these challenges, the beta launch of X Chat signifies a step towards realizing Musk's vision for X. Whether X can successfully integrate payments and gain widespread user adoption remains uncertain. The coming months will be crucial in determining the future of X Chat and X Payments.