TikTok may soon let users send money in DMs

Technology TikTok may shortly let users send capital in DMs Hidden code in TikTok's US app suggests a Venmo-style payment feature built on TikTok Pay is in early development.

Key points

• In the US, the TikTok Shop uses payment systems such as PayPal, Apple Pay, Google Pay, Klarna, Affirm, and credit cards.
• Facebook Messenger has offered the feature in the US since 2015, and X introduced X Capital for paid subscribers in July.
• A TikTok spokeswoman informed Bloomberg that at present, there is no test of this feature in any market.
• Pareesa Afreen is a reporter and sub editor specialising in technology coverage, with 3 years of experience.
• Such an idea is, nevertheless, not new within the TikTok family of corporations.

TikTok may shortly let users send each other capital without leaving a conversation. Bloomberg reports that code buried in TikTok's US iOS app points to a peer-to-peer payment feature built on TikTok Pay, the company's existing payment system, marking another step in the platform's steady push into financial services.

Nevertheless, under the uncovered code, users will receive notifications on the progress of their payments, whereas recipients will be able to accept payments by pressing a button prior to an expiry deadline.

As is the culture on apps such as Venmo, users will additionally be able to write captions for every payment produced. The news was received negatively in the market as shares in existing firms such as PayPal and Western Union tumbled.

It will employ the existing TikTok Pay payment system. It at present functions only in Southeast Asian markets such as Malaysia and Vietnam via TikTok Shop.

In the US, the TikTok Shop uses payment systems such as PayPal, Apple Pay, Google Pay, Klarna, Affirm, and credit cards. This means that a direct messaging-based payment system would be an expansion of the TikTok Pay network.

Notably, a TikTok spokeswoman informed Bloomberg that at present, there is no test of this feature in any market.

Such an idea is, nevertheless, not new within the TikTok family of corporations. The Chinese counterpart of the app called Douyin can create P2P payments via Douyin Pay.

ByteDance holds 19.9% in the TikTok US venture after selling its stake to TikTok USDS Joint Venture LLC in a compelled acquisition accord earlier this year and has applied to the Brazilian central bank for licences to be a lender and provide prepaid accounts.

Peer-to-peer payments are not new to social platforms. Facebook Messenger has offered the feature in the US since 2015, and X introduced X Capital for paid subscribers in July.

Pareesa Afreen is a reporter and sub editor specialising in technology coverage, with 3 years of experience. She reports on digital innovation, gadgets, and emerging tech trends while ensuring clarity and accuracy through her editorial role, delivering accessible and engaging stories for a fast-evolving digital audience. Nvidia's $500bn Wall Street accord signals AI boom strain. AI errors discovered in report behind Australia's under-16 ban.

Taken together, the developments around tikTok may soon let users send money in DMs point to a situation that is still moving, and the coming days should bring more clarity.