Elon Musk’s brief post on X has stirred new debate over his relationship with Bitcoin. Responding to a thread by financial news outlet ZeroHedge that discussed rising prices in gold, silver, and Bitcoin amid global “debasement,” Musk said that Bitcoin’s foundation is tied to real energy output.
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He explained that while governments can create money at will, energy remains an immutable resource. “You can issue fake fiat currency, and every government in history has done so,” Musk said. “But it is impossible to fake energy.”
The comment, his first direct acknowledgment of Bitcoin in years, immediately caught the attention of traders and analysts who read it as a potential signal that Musk may be taking renewed interest in the cryptocurrency’s economic underpinnings.
Musk’s Relationship with Bitcoin Has Been Up and Down
Musk’s relationship with Bitcoin has been both influential and controversial. Under his leadership, Tesla bought $1.5 billion worth of Bitcoin in early 2021 and announced that it would accept the cryptocurrency as payment for its vehicles.
However, within months, Musk suspended Bitcoin payments, citing environmental concerns over mining emissions. “Tesla has suspended vehicle purchases using Bitcoin,” he said at the time, adding that the company would resume only once mining relied on “more sustainable energy.”
By mid-2022, Tesla (TSLA) sold roughly 75% of its Bitcoin holdings, near the bottom of the market downturn. Since then, Musk has largely avoided discussing Bitcoin publicly and even brushed off attempts to bring it up in later interviews.
Musk Doesn’t Usually Comment about Bitcoin
Musk’s new post marks his most pointed statement about Bitcoin in several years. His observation that “Bitcoin is based on energy” reflects a core belief within Bitcoin’s philosophy, which holds that proof-of-work mining connects digital value to a tangible and verifiable use of energy.
The post comes at a time when macroeconomic themes like government debt and inflation have renewed interest in “hard assets,” including Bitcoin. Some analysts believe Musk’s return to the topic may reflect a broader shift in how major technologists view Bitcoin’s role in an increasingly AI-driven economy.
Bitcoin Price Climbed after Musk’s Comment
Bitcoin briefly climbed above $110,000 following Musk’s comment, erasing part of its early-session losses. Traders said the response was another reminder of Musk’s ability to influence sentiment with even a single post.
While there is no indication that Tesla plans to revisit its Bitcoin strategy, Musk’s statement revived long-standing debates about the cryptocurrency’s connection to energy, scarcity, and real-world economics.
At the time of writing, Bitcoin is sitting at $111,059.26.
