X Transitions Creator Payments to X Money for U.S. Users

In a strategic move, X has announced that it will shift creator payouts from Stripe to its new payment service, X Money, specifically for creators based in the United States. This change is part of a broader restructuring of the platform’s payment systems.

Changes in Creator Programs

This transition comes on the heels of other significant alterations to X’s creator initiatives. As of September 7, X will discontinue its Creator Revenue Sharing Program, which has not been accepting new members since last month. Instead, creators will be transitioned to the Original Content Rewards Program, which focuses more on rewarding original content creation.

Introducing X Money

Earlier this month, X Money began supporting payouts for creators. This new payment service is part of Elon Musk’s ambitious vision to transform X into an “everything app.” X Money offers various features, including a debit card that provides 3% cash back, instant payment processing, free ATM withdrawals, and additional digital banking solutions. However, it is important to note that X Money is not a traditional bank, as funds are managed through the FDIC-insured Cross River Bank.

Impact on Direct Deposit Requirements

According to X’s announcement, payouts made to creators will also contribute to meeting the direct deposit criteria necessary for users to access improved annual percentage yield (APY) rates. Currently, the service’s website states that X Premium users can enjoy an elevated APY rate of 6%, which is higher than the standard rate of 4%.

Tax Reporting for Creators

Additionally, X has confirmed that it will issue a 1099-NEC form for individuals receiving payouts as creators. For LLCs, the platform will require the organization’s W-9 information to ensure accurate tax reporting, as the company outlined.

This article was updated after publication with comments from X.