Snapchat Partners With Square for Payment Service The new service essentially lets users send money to each other.

By Reuters

entrepreneur daily

This story originally appeared on Reuters

Reuters | Eric Thayer

Mobile messaging company Snapchat is launching a new service that lets users send money to each other, in a partnership with online payments company Square.

The service, dubbed Snapcash, allows Snapchat users to link their debit cards to their account and quickly send money to a contact by starting a chat on a smartphone, typing in a dollar sign and an amount and hitting a green button, Snapchat explained in a post on its official blog on Monday.

The move marks the latest sign of expansion plans for Los Angeles-based Snapchat, which lets users exchange photos that automatically disappear after a few seconds. The company has been valued at $10 billion in its most recent fundraising effort, according to media reports, and is considered a growing threat to Web companies including Facebook Inc and Twitter Inc.

"We set out to make payments faster and more fun, but we also know that security is essential when you're dealing with money," Snapchat said in the post.

The company said that debit card information will be stored by Square and that Square will process the payments, transferring money between bank accounts. Snapchat said that Snapcash is available in the United States for users aged 18 and above.

Last month Snapchat began showing ads on its service for the first time.

(Reporting by Alexei Oreskovic; editing by Matthew Lewis)

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Editor's Pick

Side Hustle

I Started a Semi-Passive Side Hustle That Earns $33,000 a Week on Amazon: 'Selling There Is a No-Brainer'

Dr. Jenny Woo wanted to create a product that would help people connect, and it turned out to be a lucrative one.

Business News

Compass Agrees to Pay $57.5 Million to Settle Real Estate Commissions Lawsuits

The class action lawsuits accused Compass of violating antitrust law and conspiring to overcharge U.S. home sellers.

Business News

Jerry Seinfeld Is Now Reportedly a Billionaire — Here's Where His Wealth Comes From

Seinfeld also boasts an impressive real estate portfolio.

Business News

X Is Losing Users and Struggling to Attract Creators, According to New Data

The company, which is owned by Elon Musk, says that 1.7 million people join the platform every day.

Business Ideas

63 Small Business Ideas to Start in 2024

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2024.