UsePaid Routes Memecoin Trading Fees to X Users Through X Money

Memecoin trading fees are being routed to prominent X accounts through a service called UsePaid, creating an automated system in which selected users can receive dollar payments tied to trading activity in tokens that name their accounts.

According to Coin Bureau, the system has resulted in unexpected payments to X users, with UsePaid claiming that more than $1.44 million has been distributed and that individual deposits have reached $13,000. Some recipients have described the repeated payments as being “financially DDoS’d.”

UsePaid’s own documentation confirms that it acts as a bridge between token creator fees and X Money. When a token directs its creator fees to the service and identifies an X account as the recipient, UsePaid claims the fees on-chain, converts the recipient’s share into dollars and sends the payment through X Money.

How the Fee System Works

The mechanism allows a token creator to designate an X handle as the recipient of a portion of trading-generated creator fees. UsePaid says 80% of each claimed fee amount is paid to the designated recipient, while 20% is retained as the protocol share and used to buy and burn its $PAID token.

Recipients do not need to register with UsePaid or connect a cryptocurrency wallet to receive a payment. According to the service’s documentation, payments are sent through X Money once accumulated fees reach specified payout milestones.

The arrangement means an X account can receive a payment even if its owner was not directly involved in launching the token. UsePaid says the token itself identifies the account through its metadata, while the service handles the subsequent fee claims and dollar payout.

Payments Can Feed Social Attention

Coin Bureau described the resulting dynamic as a feedback loop in which a token generates fees for an X account, potentially prompting attention toward the token and, in turn, more trading activity.

The post said the unexpected payouts can lead recipients to acknowledge or discuss the payments, creating additional visibility around the tokens involved. That description is an interpretation of how the mechanism can operate rather than evidence that markets every recipient promotes or endorses a token.

UsePaid explicitly states that receiving a payment does not make the recipient a customer or promoter of the token that named the account. Its disclosures also say the service is independent and is not affiliated with, endorsed by or connected to X Corp., X Money or any X company.

X Money Serves as the Payment Rail

The system uses X Money as the payment channel rather than sending cryptocurrency directly to the recipient. UsePaid says it converts the recipient share into dollars before sending the payment through X Money.

The distinction is important because the service is not an official X product. UsePaid describes itself as an independent service that uses X Money as the payment rail. X does not review which tokens are registered through UsePaid or who receives payments, according to the company’s disclosures.

With UsePaid reporting more than $1.44 million in payouts and individual transfers reaching $13,000, the service has created a new mechanism linking memecoin trading activity, creator fees and payments to X accounts.

Writer: Victoria Hale
Technology & Blockchain Writer

Victoria Hale writes about blockchain technology, digital infrastructure, and the intersection of emerging technologies with finance. Her articles explore how new protocols and systems are shaping the evolving digital economy.

She prioritises clarity and accuracy when explaining technical developments to a general audience.