Stacy Pereira
- Elon Musk unveiled the America Party that embraces Bitcoin and digital assets.
- Trump slammed the move, claiming that Musk has gone “off the rails.”
- Tesla stock took a drubbing, falling over 6% in pre-market trade on Monday
Tesla and SpaceX CEO Elon Musk, has officially launched a new political movement, the America Party, in response to the frustration over the traditional two-party system. This comes after his public fallout with Donald Trump over the massive $3 trillion “Big Beautiful Bill,” which Musk termed as “debt slavery” and “utterly insane”.
Musk announced the formation of the party on July 5 after conducting an X poll, which asked respondents whether Americans wanted independence from the two-party system. Nearly two-thirds supported the move from among the 1.25 million respondents for a third-party alternative.
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The America Party pledges to tackle massive deficits, modernize the military with AI, reduce regulatory burdens among few of priorities for the newly formed part. Musk also responded to tweets that claimed that the party would focus on free speech, is pro-natalist and wants to embrace Bitcoin.
Responding to an X user, Musk confirmed that the new party will fully embrace crypto, especially Bitcoin, calling fiat currency ‘hopeless’. He has warned in the past about inflation and centralized money printing. In his X response, he shared an image with the caption ‘Crypto adoption isn’t optional—it’s inevitable’
Trump and the GOP haven’t taken these developments lightly, in his Truth Post Trump branded the idea “ridiculous,” “off the rails,” and a potential “train wreck.” He warned that third parties historically fail in the U.S. and hinted Musk’s move was fuelled by resentment over EV subsidy cuts . Treasury Secretary Scott Bessent added that Musk may be better off focusing on his businesses.
On the contrary, Billionaires Mark Cuban and Anthony Scaramucci have offered support and interest in the new party. Analysts have cautioned that Musk’s political immersion could hurt Tesla’s stock which was down over 6% in pre-market trade on Monday. The move is likely to distract Musk from the day-to-day happenings in his companies going forward.
