7 November 2023
It appears X, Tesla, SpaceX, Neuralink, and xAI won’t be issuing their own cryptocurrency anytime soon.
Announced on X late last week, Elon Musk has declared that none of his companies will be launching a cryptocurrency token, in a move that underscores a shift in the tech industry’s attitude toward competing with Bitcoin as a digital currency.
This announcement is particularly noteworthy in light of X (formerly Twitter), which recently announced its intention to transform into a platform for financial services. Previously, there had been speculation that Musk might integrate Dogecoin, a cryptocurrency he has vocally supported in the past, into his companies’ operations.
Under the leadership of Jack Dorsey, Twitter was known for its pro-Bitcoin stance, actively incorporating new features like Bitcoin tipping, a feature that has attracted him to the upstart social network, Nostr. However, Elon Musk has seemed to walk back that support, creating questions about his intentions.
Musk’s decision not to launch a crypto token carries significance, as it suggests that the concept of issuing worthless cryptocurrencies is losing favor among prominent Silicon Valley tech leaders.
This shift in sentiment could be attributed to the increasing regulatory scrutiny and uncertainty surrounding the cryptocurrency industry, or simply the failures over the last decade for any crypto token to differentiate from Bitcoin.
With Musk’s reputation as a tech visionary and influencer, his statement may influence other tech leaders and entrepreneurs, to put the idea to rest as well.