The political tech-bromance between Donald Trump and Elon Musk has officially combusted—and the fallout is massive.
Earlier this year, Trump made headlines when he purchased a red Tesla Model S, a surprising move considering his prior jabs at electric vehicles. At the time, it was seen as a symbolic peace offering to Musk—one of the few billionaire allies Trump hadn’t yet alienated. But that goodwill has evaporated. Trump has reportedly parked the Tesla for good, and his relationship with Musk is looking just as dead.
🔥 From Admiration to All-Out War
What sparked the fallout? A fiery critique from Musk aimed at Trump’s latest fiscal policy package—a sweeping tax-and-spending plan Musk publicly condemned as a “disgusting abomination.”
Trump, predictably, didn’t take the insult quietly. He fired back in Trumpian fashion: branding Musk as “totally unhinged” and accusing him of having “Trump Derangement Syndrome.” The gloves are off, and it’s no longer just a disagreement—it’s a full-on feud.
💥 $22 Billion in Government Contracts at Risk
This clash isn’t just about ego. It’s about empire-level money. Trump is reportedly threatening to cancel federal contracts awarded to Musk’s companies, including major deals with SpaceX.
SpaceX is currently sitting on about $22 billion in government contracts, particularly with NASA and the Department of Defense. If Trump manages to get back into the White House and follows through on his threats, Musk could be looking at major financial disruptions across his space and defense operations.
Musk initially retaliated by hinting at pulling SpaceX from NASA collaborations—an extreme measure that sent shockwaves through both the aerospace industry and Washington. But he quickly walked that back, possibly realizing the high cost of escalation.
📉 Tesla’s Brutal Market Reaction
Investors didn’t need long to react. Tesla stock went into freefall, plunging over 14% in a single day, wiping out an eye-watering $150 billion in market value. Although it has since recovered slightly, the damage is done: confidence has taken a major hit, and the broader tech sector is watching nervously.
Analysts say the sell-off was driven by fears of political risk and regulatory uncertainty, especially if Trump regains power and follows through with anti-EV rhetoric and policy rollbacks.
💸 Campaign Funds Pulled
Then there’s the political dimension. Musk, who had reportedly funneled up to $300 million into Trump’s 2024 campaign through a network of PACs and dark-money channels, is said to have slammed the brakes on all financial support.
That’s a massive blow to Trump’s re-election war chest—and potentially a strategic disaster. Without Musk’s backing, Trump loses a key Silicon Valley heavyweight and access to a tech-savvy donor base. For Musk, it’s a strategic gamble: distancing himself from Trump could win him favor with a broader swath of regulators and investors—but it also removes a powerful political ally.
👉 Why This Matters (Especially to Crypto)
This feud isn’t just a celebrity spat—it’s a political and financial earthquake with ripple effects touching everything from aerospace to crypto markets.
Both Trump and Musk have flirted with crypto-friendly policies. Musk has long been a driving force behind meme coins like
$DOGE , while Trump recently started accepting crypto donations for his campaign and hinting at a pro-crypto stance. Their split could stall momentum in the regulatory space or fracture political support for crypto-friendly legislation.
More broadly, it’s a reminder of how personal rivalries at the top can trigger real-world consequences for markets and policy. For crypto traders and investors, that’s something to watch closely.
📌 TL;DR
Trump and Musk have publicly fallen out after Musk bashed Trump’s tax bill.
Trump retaliated with personal insults and is threatening to cancel federal contracts.
Tesla stock dropped 14%, losing $150B in market value in one day.
Musk may have pulled $300M in campaign funding from Trump.
The feud could shake up crypto policy, tech markets, and future political alliances.
The bromance is over. The stakes are higher than ever. And both sides look ready to escalate.
$DOGE $PEPE $SHIB #crypto #Tesla #SpaceX #TRUMP #ElonMusk