Elon Musk’s New America Party Supports Bitcoin, Rejects Failing Fiat Currencies

On July 7, Elon Musk confirmed to his over 220 million X followers that his newly formed political party, America Party, will officially back Bitcoin, declaring fiat currency “hopeless” in response to a user’s question.

Musk’s endorsement drew immediate praise from leading crypto figures. Mario Nawfal, co-founder of NFT Technologies, argued that digital currencies could counteract Washington’s unchecked spending and inflationary pressures. 

Fiat is hopeless, so yes

— Elon Musk (@elonmusk) July 7, 2025

Joe Burnett, Director of Bitcoin Strategy at Scientific, added that cryptocurrencies offer tools to realign economic incentives toward leaner, more efficient governance.

How Bitcoin Will Play a Key Role in Musk’s America Party

The tech entrepreneur first floated the idea of another U.S. political party on July 4, polling his followers on independence from the “two-party (some would say uniparty) system.”

With 1.2 million votes cast and roughly 65% in favor, Musk pledged to capture pivotal Senate and House seats, just enough to tip close legislative margins.

Musk’s affinity for Bitcoin dates back to early 2021, when Tesla purchased $1.5 billion worth of BTC, making it one of the first public companies to adopt cryptocurrency on its balance sheet.

Today, Tesla holds 11,509 BTC (approximately $1.26 billion at current prices), ranking it among the top ten publicly traded Bitcoin holders. Musk has also fueled volatility in Dogecoin through his tweets, underscoring his outsized influence on digital assets.

Although the “America Party” remains organizationally nascent, Musk envisions securing just a handful of congressional seats to wield decisive power over contentious legislation.

By championing Bitcoin and spotlighting fiscal responsibility, he hopes to redefine both monetary and political norms in Washington.

Could Musk-Trump Feud Undermine Crypto Growth?

Elon Musk's move to have a political party in the U.S. has elicited criticism from Donald Trump.

The U.S. President warned on TruthSocial that a third party would fracture the electorate and sow chaos, noting that past attempts have never gained traction under America’s winner-take-all rules.

Despite the America Party’s Bitcoin-forward philosophy aligning in part with President Trump’s goal to make the U.S. the crypto capital of the world, the feud between Musk and the President of the U.S. appears nowhere near its end. 

Elon Musk has branded the Republican-backed One Big Beautiful Bill Act—a $3.3 trillion spending package over ten years—a “disgusting abomination.”

Musk threatened lawmakers who backed the bill: they would “lose their primary next year if it is the last thing I do on this Earth.”

Every member of Congress who campaigned on reducing government spending and then immediately voted for the biggest debt increase in history should hang their head in shame!

And they will lose their primary next year if it is the last thing I do on this Earth.

— Elon Musk (@elonmusk) June 30, 2025

Meanwhile, top Trump loyalists fear Musk’s new party could siphon off GOP votes under America’s first-past-the-post system, potentially costing Republicans their slim Congressional majority in the 2026 midterms. 

Although third parties rarely gain traction, Musk’s vast resources make his America Party an unprecedented wildcard in U.S. politics.