Elon Musk Says America 'Headed For Bankruptcy' As National Debt Skyrockets $204B In A Day

Elon Musk expressed concerns over the financial trajectory of the United States, suggesting the nation is on the brink of bankruptcy.

What Happened: As per economist E.J. Antoni on Thursday, Federal debt increased by $204 billion on the very first day of the new fiscal year, jumping to a new record of $35.669 trillion.

Additionally, the Treasury had to reduce its cash reserves by $72 billion, resulting in a deficit exceeding $275 billion in just one day.

Musk responded, “America is headed for bankruptcy.”

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Why It Matters: The issue of national debt is not new but has gained increased attention. Former Coinbase Global Inc. CTO, Balaji Srinivasan, argues that the actual U.S. debt is much higher when considering entitlements like Social Security and Medicare. He estimates the real figure to be $175.3 trillion. This perspective suggests that the financial obligations of the U.S. are far greater than the reported $35 trillion, raising questions about fiscal sustainability.

Earlier, Robert Kiyosaki, the renowned financial educator and the author of the best-selling book Rich Dad, Poor Dad, also expressed his concerns over the escalating U.S. debt. In a series of posts on X, Kiyosaki warned about the growing $35 trillion U.S. debt, calling it "the real problem" that "neither [Donald] Trump nor Kamala [Harris] can solve."

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This story was generated using Benzinga Neuro and edited by Pooja Rajkumari