In a series of posts on X, Brendan Berry, Head of Payments Products at Ripple, recently shared his insights on how X could leverage cryptocurrency to fulfill its ambition of becoming “the best place on the internet to earn a living as a creator.” This comes as X’s owner and CTO, Elon Musk, firmly denies any plans for X to launch its own crypto token.
Berry’s posts, made on 4 August 2023, outline the potential benefits of integrating crypto payments into X’s platform. He emphasized the global nature of the creator economy, arguing that to be the best, X must consider the needs of creators worldwide, not just in the U.S. This includes paying creators in their preferred currency and country.
However, Berry pointed out that traditional cross-border fiat payments have limitations. They are slow, often taking several business days to process, and can be costly, especially for smaller amounts. Furthermore, they require creators to have a bank account, which is not a given, considering that around 20% of the world’s population is unbanked.
Berry suggested that crypto could be the solution to these challenges. With crypto, X could pay creators instantly and offer a wide range of currency options. Stablecoins and public cryptocurrencies like BTC, ETH, and XRP are all broadly accessible and could be used for payments.
Moreover, X could differentiate itself by offering real-time payments. For instance, X could pay creators every hour for the revenue generated through content engagement and related ad revenues. Creators could then immediately liquidate the crypto for fiat, giving them instant access to their earnings.
On 5 August 2023, in response to a post by X user “DogeDesigner,” Musk stated that X would never launch its own crypto token. This statement came a day after Berry’s posts and seemed to contradict the potential use of crypto on X’s platform as outlined by Berry. However, it’s important to note that Musk’s statement does not rule out the use of existing cryptocurrencies on X.
In conclusion, while X’s official stance on launching its own crypto token is a firm no, the potential for integrating existing cryptocurrencies into its platform remains intriguing. As Berry’s posts suggest, such a move could significantly enhance the platform’s appeal to creators worldwide.
