# TikTok is developing peer-to-peer payment feature via DMs The social media giant is working on a money transfer feature through direct messages. - **Source:** [TechCrunch](https://techcrunch.com) - **Published:** 2026-08-18 - **Topic:** [Finance](https://brifing.si/c/finance) - **Original article:** - **On Brifing:** https://brifing.si/s/204c24f4-3346-486d-850a-8837ea183fcc ## New feature on TikTok TikTok is developing a new feature that would allow users to send money to each other via direct messages. According to Bloomberg's report, this feature would utilize TikTok Pay, the payment infrastructure currently used for TikTok Shop purchases in Southeast Asia. The feature is reportedly not in testing yet and is in early development stages, with no confirmed timeline for a wider release. ## Technical details References to the feature were found in the code of TikTok's U.S. iPhone app. Code analysis suggests recipients would 'tap to accept' payments, while senders could include messages with transfers - similar to Venmo's functionality. TikTok confirmed the feature isn't being tested currently, meaning there's no definitive timeline for when or if it might launch publicly. ## Expansion into financial services This isn't TikTok's first move into financial services. Earlier this year, Reuters reported TikTok applied to Brazil's central bank to operate as a fintech company offering lending and payment services. The platform has been steadily expanding beyond social media with e-commerce, local discovery features, and now potentially P2P payments, signaling broader ambitions in digital finance. ## Competitive landscape With this move, TikTok would compete with established P2P payment services like Venmo and Zelle. Social media rival X (formerly Twitter) recently launched X Money for user-to-user payments. These developments reflect a growing trend of social platforms diversifying revenue streams and increasing user engagement through integrated financial services. ## Global strategy TikTok's experience with TikTok Shop payments in Southeast Asia could facilitate its entry into global P2P payments. The platform's young user base and high engagement rates suggest strong potential for rapid adoption of financial products. However, regulatory hurdles and trust issues remain significant challenges, particularly in Western markets with strict financial regulations. ## User engagement The payment feature aligns with TikTok's strategy to increase in-app interactions and time spent. Potential use cases include content creators receiving direct donations from followers or small businesses accepting instant payments. Such functionalities could significantly strengthen TikTok's commercial ecosystem and create new monetization channels within the platform. ## Regulatory challenges TikTok's financial services expansion may face strict scrutiny, particularly in the U.S. and EU. Data security and privacy concerns could trigger increased oversight of its payment systems. The outcome of TikTok's Brazil application and licensing processes in other jurisdictions will be crucial in shaping the company's global financial services strategy. ## Industry significance TikTok's potential entry into P2P payments underscores the increasing convergence of social media and financial services. Platforms aim to become central hubs not just for content but also for financial transactions in users' digital lives. This trend could drive significant transformation in traditional banking and payment systems as tech companies redefine financial services delivery. ## Sources covering this story - https://techcrunch.com/2026/08/18/tiktok-explores-peer-to-peer-payments-via-dms-report-says/ — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._