Elon Musk has once again drawn attention to Bitcoin, particularly highlighting its intrinsic connection to energy in a recent social media exchange. Responding to a post by the user ‘zerohedge’, who suggested that rising prices in gold, silver, and Bitcoin signify the “debasement” fueling the AI arms race, Musk agreed, underscoring the fundamental value of Bitcoin. He stated, “True,” before elaborating on his perspective that “Bitcoin is based on energy,” arguing that while governments can create fictitious fiat currency, the production of energy is not something that can be faked.
Fiat money, as Musk pointed out, lacks intrinsic value and is designated as legal tender by governmental regulation. It derives its worth primarily from the trust in the issuing authorities, diverging from traditional currencies that are tied to physical assets like gold or silver. In contrast, Bitcoin is positioned by Musk as a more robust alternative, given its dependence on actual energy consumption, which he believes shields it from the vulnerabilities of conventional fiat currencies.
Musk’s stance on Bitcoin aligns with a long-standing sentiment he has expressed regarding the cryptocurrency’s value tied to real-world energy input. His engagement with cryptocurrency has been characterized by significant corporate actions and a more measured personal involvement. In 2021, Tesla invested over $1.5 billion in Bitcoin and briefly accepted it as payment for vehicles before pausing transactions due to environmental concerns associated with Bitcoin mining. Despite selling a portion of its Bitcoin assets, Tesla still holds over 11,500 BTC, which is valued at over $1.2 billion. Additionally, SpaceX is reported to own around 8,285 BTC, marking Musk’s persistent confidence in Bitcoin despite its market fluctuations.
In contrast to his views on Bitcoin, Musk has adopted a more whimsical approach toward Dogecoin, labeling it the “people’s crypto” and embracing the meme culture surrounding it. His reluctance to endorse other cryptocurrencies directly suggests a degree of caution, even as he has hinted at his personal investments. For instance, in July 2025, Musk liked a tweet that implied he might be “quietly stacking BTC,” leading to fresh speculation about his ongoing personal engagement with Bitcoin.
Musk’s comments and actions continue to stir a complex dialogue about the role of cryptocurrencies in the evolving financial landscape, particularly in light of environmental considerations and economic principles that underpin various forms of currency. As the discourse around Bitcoin and other cryptocurrencies evolves, Musk’s insights remain pivotal in shaping public perception and investor sentiment.
