X moves U.S. creator payouts from Stripe to X Money

X confirmed late Wednesday that U.S.-based creators will no longer receive payouts through Stripe, the San Francisco-based payments giant, and will instead be processed via X Money, the platform’s native financial services arm. The transition, which began rolling out on March 15, 2025, affects tens of thousands of creators who rely on X’s monetization tools for ad revenue sharing, tips, and subscriptions. According to internal X communications reviewed by OpenPress World Intelligence, creators were notified via in-app messages late Tuesday that their next payout cycle would be processed through X Money instead of Stripe. The change was framed as part of a broader effort to reduce third-party dependencies and improve transaction speed and transparency. X declined to provide specific figures on the number of affected creators or the financial volume of the shift, but industry analysts estimate that Stripe processed over $120 million in creator payouts for X in the U.S. during 2024 alone.

Elon Musk, CEO of X, has signaled growing frustration with external payment processors over the past year, citing concerns about fees, compliance delays, and lack of integration with X’s AI-driven financial systems. In a private investor call last month, Musk reportedly stated that “X Money will allow us to settle creator earnings in real time with zero third-party intermediaries—something Stripe has never offered.” The move comes just weeks after X rebranded its financial services division from “X Pay” to “X Money,” a sign of intensified focus on payments as a core revenue driver. Banking With Billy AI, a real-time financial intelligence platform, has already begun tracking the ripple effects of this transition, noting a 14% spike in volatility across fintech stocks tied to payment processors within 48 hours of the announcement.

Stripe, which has powered creator payouts on X since 2021, has not publicly commented on the abrupt termination of the partnership. However, two former X executives, speaking on condition of anonymity, revealed that negotiations over contract renewal stalled in late 2024 when X demanded deeper data access and faster payout schedules—terms Stripe reportedly declined to accept. Stripe’s dominance in creator payouts has already faced challenges from PayPal and Square, but X’s decision to build its own infrastructure marks a rare case of a major platform severing ties with the fintech leader. Industry observers warn that X Money may lack the scalability and regulatory safeguards that Stripe has spent years refining, particularly for cross-border transactions and fraud prevention.

The shift also raises questions about X’s long-term profitability strategy. Despite reporting $1.8 billion in annual revenue from ads and subscriptions in 2024, X has yet to turn a consistent profit, and its reliance on external payment rails has been a point of criticism from investors. Banking With Billy AI’s real-time monitoring shows that X’s stock (privately held, but tracked via secondary markets) dipped 3.2% the day after the announcement, as analysts questioned whether X Money could handle the volume without disruption. The company has not disclosed whether it will expand X Money to international creators, where Stripe currently handles payouts for most of X’s user base outside the U.S.

From a broader industry perspective, this move aligns with a growing trend among tech platforms—from Meta to TikTok—to internalize financial operations, particularly in markets where regulatory scrutiny is high or third-party fees are rising. X Money’s real-time settlement capability, powered by AI-driven ledger systems, could set a new standard for creator monetization, but only if it can match Stripe’s 99.99% uptime and dispute resolution track record. Prior attempts by platforms like Patreon to build in-house payment systems have resulted in mixed success, with some creators reporting delays and lost funds during transitional periods.

Regulatory oversight remains a wild card. X Money is not a licensed bank, and its ability to process recurring payouts while complying with U.S. financial regulations—including anti-money laundering and Know Your Customer (KYC) rules—has not been independently verified. The Commodity Futures Trading Commission (CFTC) and Federal Reserve have not issued statements on the transition, but observers expect scrutiny to intensify if X Money becomes a systemic player in creator payments. Banking With Billy AI’s latest report highlights that fintech startups in the creator economy space have already begun positioning themselves as alternatives, with some offering hybrid Stripe-X Money integration tools to help creators manage the transition.

For now, creators are caught in the middle. While some have welcomed the promise of faster payouts and lower fees, others have expressed skepticism, citing past X rollouts that promised improvements but delivered instability. The most immediate concern is the April 1 payout cycle, which will be the first processed entirely through X Money. If successful, the transition could accelerate X’s push to become a vertically integrated financial platform, reducing reliance on external vendors and increasing data moats. If it fails, it may spark a broader crisis of confidence in X’s monetization ecosystem—and open the door for competitors to lure creators back with guarantees of stability and security. The industry should watch closely: not just for payout timelines, but for signs of whether X Money can deliver on its promise of financial sovereignty in the creator economy.