Elon Musk labels US dollar “hopeless,” confirms America Party will back Bitcoin to challenge fiat and promote financial freedom.
Elon Musk has announced that the America Party, which he has recently established, will adopt Bitcoin. This announcement is a remarkable development. Musk criticizes the US Dollar and intends to replace it with Bitcoin, stating that “fiat is hopeless.” The price of Bitcoin (BTC) has increased by 1.42% in the past 24 hours and is currently trading at $109,600. The daily trading volume has increased by 28% to $38 billion.
Can Elon Musk’s America Party resolve concerns regarding fiat currency through Bitcoin?
The America Party was established by tech billionaire Elon Musk last week, shortly after US President Donald Trump signed the ‘Big Beautiful Bill’, which increased the government expenditure and US debt ceiling by an additional $5 trillion. Musk believes that the government’s irresponsible spending will exacerbate the burden on Americans by increasing inflation and the overall increase in debt interest payments. Musk is prepared to embrace Bitcoin to combat fiat, or paper money.
Musk, incensed by President Trump’s decision, conducted a poll on the X platform to establish his own America Party. The poll garnered 65.4 percent of the vote, with 1.2 million respondents. The tech magnate composed the following message on X:
“By a factor of 2 to 1, you want a new political party and you shall have it! When it comes to bankrupting our country with waste & graft, we live in a one-party system, not a democracy. Today, the America Party is formed to give you back your freedom”.
The Department of Government Efficiency (DOGE) was established under the Trump administration, with Musk serving as its chief architect. DOGE was established to reduce government spending and enhance governance. Nevertheless, Musk abruptly resigned from the department last month, citing that his tenure was complete. This decision soon led to disagreements with President Trump regarding numerous policy matters.
Last week, several reports suggested that Elon Musk was hoarding Bitcoin. Musk has consistently advocated for Bitcoin, and Tesla, his electric vehicle company, was the first to adopt the cryptocurrency in 2021. It remains among the top 10 publicly listed Bitcoin holders, with 11,509 BTC.
Trump Issues a Challenge to Musk Regarding a Third Political Party
President Trump stated in his message on the Truth Social platform that Elon Musk is “completely off the rails.” Additionally, he said:
“He (Musk) even wants to start a Third Political Party, despite the fact that they have never succeeded in the United States – The System seems not designed for them. The one thing Third Parties are good for is the creation of Complete and Total DISRUPTION & CHAOS”.
US Treasury Secretary Scott Bessant also declared that Musk should “concentrate on business, not politics.” As a result of these developments, the price of Bitcoin has reclaimed above $109,500, and the open interest in BTC futures has increased by 4% to $75 billion. Fresh all-time highs could result from a significant breakout above $110,000.