Elon Musk's social network, X, has announced that all U.S. creator payouts will now be handled through X Money, the app's in-house payments service. This change, taking effect today, means creators will receive instant payments without waiting for the end of a billing cycle or a minimum threshold. Previously, payouts were processed every two weeks, with a minimum of $30 required before creators could access their funds.
However, the new payment system is not optional for creators in the U.S., despite previous use of Stripe. This shift could impact user preferences and potentially reduce the flexibility of payment options. Creators outside the U.S. will continue to use Stripe.
The move towards X Money aligns with Musk's broader strategy to make X an 'everything app,' offering a full suite of digital banking services including a 3% cashback bank card, free ATM withdrawals, and other financial features. X Money is not a bank but is FDIC-insured, with accounts held at Cross River Bank.
Creator payouts will now count towards X Money users' direct deposit requirements to receive the service's better APY rate. X Premium users will benefit from a 6% rate, compared to the standard 4% rate. Additionally, X will issue a 1099-NEC for individuals receiving creator payouts, and collect W-9 information from LLCs to ensure accuracy.
This change, coming after the retirement of the Creator Revenue Sharing Program, reflects a trend towards greater control and integration of financial services within the platform, potentially setting new standards for social media monetization.







