X Introduces Built-in “Paid Partnership” Sponsored Post Labels

X has announced the launch of a new “Paid Partnership” label that creators can apply to sponsored content, replacing manual hashtags like #ad or #paidpartnership. The feature, rolled out after a preview last month, aims to increase transparency, help creators comply with regulations, and build trust with followers.

Creators can toggle on a “content disclose” setting when composing a post or add the label retroactively via the three-dot menu on existing posts. Once activated, a clear “Paid Partnership” indicator appears directly below the content, making sponsorships immediately visible without cluttering the caption.

Head of Product Nikita Bier explained the rationale: “While we want to encourage people to build their businesses on X, undisclosed promotions hurt the integrity of the product and lead people to distrust the content they read on X.” The label aligns X with longstanding disclosure requirements from bodies like the U.S. Federal Trade Commission, which has mandated clear sponsorship labeling since 2017 warnings to influencers.

The move comes as X continues efforts to attract and retain creators through monetization tools like ad revenue sharing, subscriptions, and viral content payouts. Unlike Instagram and YouTube, which have offered built-in branded content tags for years, X creators previously relied on hashtags – a method some view as outdated. Threads, Meta’s X competitor, notably removed hashtags entirely at launch.

Last week, the platform restricted API use for programmatic replies unless the original post mentioned or quoted the replier, aiming to reduce AI-generated spam and fake engagement (including potentially fraudulent brand comments on sponsored posts). Hopefully, this should mean that these new labels can’t be used to have bot accounts promote products and services while using the labels as a mark of an official collaboration.