Elon Musk Says His America Party Will Embrace Bitcoin: 'Fiat Is Hopeless'

Elon Musk said Sunday that his new ‘America Party’ will embrace Bitcoin BTC/USD, the world's largest cryptocurrency by capitalization.

What happened: An X user, Renato Lima, asked Musk whether his new centrist party would embrace Bitcoin.

"Fiat is hopeless, so yes," replied the SpaceX and Tesla CEO.

Musk's views on the fiat vs. Bitcoin debate have fluctuated over the years. Back in 2020, he said Bitcoin is "almost as BS as fiat money." However, months later in 2021, he sided with cryptocurrencies.

Interestingly, he unveiled XChat messaging app last month with claimed Bitcoin-style encryption.

Moreover, Musk's electric vehicle juggernaut, Tesla Inc. TSLA, supposedly holds $1.2 billion in Bitcoin, according to on-chain analytics firm Arkham Intelligence

Why It Matters: After weeks of speculation, Musk announced the launch of the "America Party” to counteract what he views as a flawed two-party system.

Musk conducted a poll on X, asking voters about their desire for independence from the existing political framework. The poll garnered over 1.2 million votes, with a majority of 65.4% favoring a new political party.

Price Action: At the time of writing, Bitcoin was exchanging hands at $109,585.77, up 1.38% in the last 24 hours, according to data from Benzinga Pro.

Shares of Tesla closed 0.10% lower at $315.35 during Thursday’s regular trading session. Year-to-date, the stock has plummeted 21.91%.

The TSLA stock ranked high on the Growth score but lagged in Momentum. To see how it compares to Strategy Inc. TSLA, the largest Bitcoin corporate holder, check out Benzinga Edge Stock Rankings.