worldcoinindex.com
Tesla CEO Elon Musk made an unexpected return to Crypto Twitter (X) early Tuesday, defending Bitcoin’s energy-based value system — a striking reversal from his previous criticism of the cryptocurrency’s power consumption.
The billionaire weighed in during a discussion about artificial intelligence becoming the new global arms race, suggesting that Bitcoin and precious metals are rallying as investors hedge against currency debasement caused by massive AI-related spending.
“This is why Bitcoin is based on energy,” Musk wrote. “You can issue fake fiat currency, and every government in history has done so, but it is impossible to fake energy.”
His comments echo one of Bitcoin’s oldest defenses — that the digital currency’s reliance on real energy expenditure ensures its scarcity and authenticity, unlike fiat money that can be printed endlessly.
Musk’s statement drew quick support from Michael Saylor, Executive Chairman of Strategy, who replied, “The laws of nature are superior to the laws of man.”
The Tesla founder’s shifting tone marks a full-circle moment from his 2021 stance, when he suspended Bitcoin payments for Tesla vehicles due to environmental concerns. Back then, Musk had cited “insane” energy usage trends, referencing data from the Cambridge Bitcoin Electricity Consumption Index, and pledged to resume acceptance only when miners used at least 50% clean energy.
Despite those reservations, Tesla has continued to hold Bitcoin on its balance sheet since February 2021. The company currently owns 11,509 BTC, worth about $1.28 billion at current prices — though that’s far below its peak holdings of 43,200 BTC in 2021. Tesla sold most of its position in July 2022, generating roughly $936 million in proceeds.
Musk’s relationship with Bitcoin has always been complex. In his early years, he dismissed the cryptocurrency as mainly useful for illegal transactions, and even denied being Satoshi Nakamoto after rumors swirled in 2017. Yet his company’s investments and influence have made him one of the most consequential figures in Bitcoin’s modern narrative.
Now, by reframing Bitcoin as the “currency of energy”, Musk seems to be acknowledging the very principle he once challenged — that Bitcoin’s value lies not in speculation, but in the immutable physics of power itself.