Key Takeaways

• XChats offers enhanced messaging features, including audio/video calls, file sharing, encryption, and vanishing messages.

• The service is built using the Rust programming language for enhanced security.

• X Money, a new payment system, will launch later this year, further expanding X’s capabilities beyond social media.

• X is positioning itself as a competitor to both encrypted messaging apps and fintech services like Venmo and Cash App.

What Is XChats?

Musk describes the new messaging service as featuring “Bitcoin-style encryption,” sparking interest and speculation within the tech and cryptocurrency communities.

Elon Musk Discussing XChats

Source: X (@elonmusk)

Notably, the platform’s goal is to provide users with a secure, feature-rich messaging experience that includes audio and video calling, encrypted communication, and the ability to send various types of files.

Ultimately, XChats appears to be a revamped version of X’s existing direct messaging function. According to the Tesla CEO, the new messaging service will offer several advanced features, such as:

• Audio and video calling.
• End-to-end encryption.
• Vanishing messages.
• Ability to send all types of files.

These features are designed to make XChats not only a competitor to existing encrypted messaging platforms like Telegram and Signal but also a comprehensive communication tool for users seeking privacy and versatility.

Utilizing The Rust Programming Language

A notable aspect of XChats is its architecture. The messaging service is built using the Rust programming language, a system favored for its security features and performance capabilities.

Musk emphasized that the use of Rust would provide an encryption system that is similar to Bitcoin’s, which has raised curiosity among crypto enthusiasts.

In his announcement, Musk suggested that the “Bitcoin-style encryption” used in XChats would offer robust security. However, the exact details of this encryption remain unclear, leading to differing opinions within the crypto space.

Bitcoin’s Encryption System Vs. XChats

The reference to Bitcoin’s encryption sparked a heated discussion among Bitcoin developers and cryptocurrency influencers.

Several prominent figures, such as Samson Mow, CEO of JAN3, and Luke Dashjr, a core Bitcoin developer, pointed out that Bitcoin is not actually encrypted in the traditional sense. Instead, it uses elliptic curve cryptography for security, which allows users to verify transactions and prove ownership of their coins without exposing private keys.

Despite the confusion, many in the crypto community speculate that Musk may be referring to BIP-151, a Bitcoin Improvement Proposal (BIP) designed to provide P2P encryption for Bitcoin node communications.

XChat’s Encryption Features & Security

While Bitcoin’s cryptographic techniques are widely recognized, XChats is expected to offer encryption that focuses on privacy and security for messages, similar to other encrypted messaging services. XChats will therefore likely feature:

• End-to-end encryption to secure messages between users.

• Vanishing messages for self-destructing messages, offering a higher level of privacy.

• Four-digit passcode protection for accessing chats, adding an extra layer of security.

This feature set positions XChats as a direct competitor to platforms like Telegram, which is known for its security features, and Signal, another popular app that focuses on privacy.

X Money: A New Payment System

In addition to XChats, Elon Musk has confirmed that X is working on a new payment system called X Money, which will enter beta testing later this year.

Musk has stated that the system will have “limited access” initially and emphasized the importance of security when handling user savings.

Elon Musk Discussing X Money

Source: X (@elonmusk)

X Money’s could transform the platform into an “everything app”, similar to China’s WeChat, by merging social media, messaging, and financial services. This could put X in competition with established payment platforms like Venmo and Cash App, as well as encrypted messaging apps like Telegram.

FAQs

What is XChats?

XChats is a new messaging feature rolled out by X that includes audio and video calls, encrypted messaging, vanishing messages, and the ability to send any file type.

How does XChats’ encryption compare to Bitcoin?

While Musk has described XChats’ encryption as “Bitcoin-style,” experts note that Bitcoin does not use traditional encryption.

Instead, it uses elliptic curve cryptography for security. Elon’s new initiative likely employs end-to-end encryption similar to other messaging apps like Signal and Telegram.

What is X Money?

X Money is a new payment feature that X is currently testing, which will allow users to send and receive payments. The feature is expected to launch in beta later this year.

Will XChats be available to all users?

XChats is initially available to paid subscribers of X, with more features likely rolling out in the future as the service expands.