- Musk calls the Congressional bill a “disgusting abomination” filled with waste.
- The bill’s $1.6T discretionary spending includes $895B defense and $711B non-defense funds.
- Coinbase CEO warns Bitcoin could replace the dollar if deficit spending continues unchecked.
Pro-XRP lawyer John Deaton has suggested Elon Musk and Tesla may purchase additional Bitcoin following the Tesla CEO’s harsh criticism of the recent Congressional spending bill. Deaton’s prediction comes as Musk launched a scathing attack on what he termed a “pork-filled” legislative package.
“Wouldn’t be surprised to see Elon and Tesla buy more Bitcoin. The Big Beautiful Bill is a walking billboard and advertisement for buying Bitcoin,” Deaton posted on X, directly replying to Musk’s criticism of the FY2025 budget.
Musk’s frustration was evident in his social media response: “I’m sorry, but I just can’t stand it anymore. This massive, outrageous, pork-filled Congressional spending bill is a disgusting abomination. Shame on those who voted for it: you know you did wrong. You know it.”
The spending bill includes H.Con.Res.14 and H.R. 1968, totaling $1.6 trillion in discretionary spending, with $895 billion allocated to defense and $711 billion to non-defense programs. Critics, like Musk, argue that the legislation contains wasteful spending on specific regional projects and industry subsidies.
Related: Is Bitcoin Ready for a June Shake-Up? Fed Moves and Inflation Data Set the Stage
Interest Payments Consuming Government Revenue
Musk expanded his criticism by highlighting the fiscal implications of continued deficit spending. In a follow-up post, he warned that interest payments already consume 25% of all government revenue, creating an unsustainable trajectory.
“If the massive deficit spending continues, there will only be money for interest payments and nothing else! No social security, no medical, no defense … nothing,” Musk stated. He emphasized the long-term consequences of current fiscal policies.
This concern about debt service costs aligns with growing worries among fiscal conservatives about the sustainability of current spending levels. With interest rates still high, a growing share of government expenditures is being used to cover interest payments on the national debt.
Armstrong Links Debt to Bitcoin’s Global Role
Coinbase CEO Brian Armstrong joined the conversation by linking fiscal irresponsibility to Bitcoin’s potential as an alternative reserve currency. Armstrong warned that unchecked deficit spending could accelerate Bitcoin’s adoption as a global monetary standard.
Armstrong’s comments highlight the tension between cryptocurrency advocates who see Bitcoin as a hedge against fiscal mismanagement and those who prefer maintaining dollar dominance through responsible government spending.
The Coinbase CEO’s perspective suggests that while Bitcoin’s rise could benefit from fiscal instability, a strong American economy remains crucial for global stability.
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