It doesn't matter if X wants to become a financial company, on the long run, it may lose, here's why

It is news today that X is now a financial company due to its acquisition of a certain license in the states that will enable it(legally) to engage in the storage, transfer, and exchange of digital assets on behalf of its users.

While the company's users are still in the dark on if this would include cryptocurrency payments, it is still unclear if that is in the package of this new Twitter, but it's safe to speculate, crypto is the new shiny technology and it keeps bringing up new things to make a buzz about, so yeah, let's speculate the possibility.

The battle against banks and asset markets

Twitter becoming a financial hub means a lot, it is directly a threat to several Fintech institutions, asset markets and traditional banking institutions.

That said, we are dealing with an industry with quite a handful of rules and regulations, one of the most rigid systems in the world has to be the finance and banking system and this is particularly seen when looking at the global scale of things.

This lack of flexibility however could be the window of opportunity that will let crypto make way into the X finance ecosystem. Notwithstanding, the reason for the mention of the rigidity of this system is because there's a network of people that control the money via the system so having someone like Elon Musk in the picture could prove worrisome because for one, I don't see Elon as a pushover who will want or allow himself be bentover by the fucked rules of this ecosystem.

The control me button doesn't just seem to exist in this man, so what's going to be the play for a business with a global audience that has to oppose basically a lot of global banking and finance laws in order to retain its status and that of its owner on what he's envisioned for it?

Again, this proves to be a window of opportunity for cryptocurrency to move in but one has to understand, X is a public business with quite notable personnels to point to and say "you are responsible for what's going on here, so have a lawsuit to calm you the fuck down."

This is one way I see things going because of the nature of who owns what and the rules of the game being played here, there will potentially be a heck of a legal battle.

That said, on a grand scale of things, crypto would be competing with Web3 payment systems functioning as non-custodial solutions for flexible global payments and financial services, so the question here is "Will X stand a chance against the wave of Web3 solutions that will most definitely be released over the years?"

We crypto enthusiasts will ultimately want a web3 alternative to win considering that X is centralized and that's a turn off, not your keys, not your crypto, ayy?

In the long run, X(formerly Twitter) may be caught up in tight situations given that this race isn't against individuals but against major old financial institutions and the new ones looking to make an entry.

As technology advances and finance keeps getting redefined, it will get increasingly harder. The decentralized finance ecosystem will be one of the strongest players in the space, factoring in X in this evolution is really just where the vision gets blurry.

Will X prevail?

Posted Using LeoFinance Alpha