Popular microblogging platform Twitter is now under new management. Tech billionaire Musk bought the platform for $44 billion in a move that had been in motion for several months.
Musk announced his acquisition on October 26 via a tweet. The new Twitter boss also changed the information on his bio, now referring to himself as "Chief Twit."
There were varying reactions as news broke confirming the purchase of the social media platform. Some users expressed concerns about possible changes to the platform in the future. However, other users were delighted by the takeover.
Responding to the acquisition, some critical players in the crypto industry expressed support for the takeover. Micheal Saylor, Founder of Bitcoin investment platform MicroStrategy, tweeted his support for Musk.
Through a series of tweets, Changpeng "CZ" Zhao, CEO of Binance, also showed his support for the purchase. In a tweet released on October 28, he said Let's unleash the bird, referencing Twitter's new ownership.
Zhao also took the opportunity to mention Binance's active role in the takeover process. According to Zhao's October 28 tweet, Binance invested $500 million in the purchase.
On October 29, Zhao tweeted Crypto Twitter, referencing Binance new working relationship with the microblogging platform.
With Zhao's active support and investment in Twitter, Musk's purchase bodes well for the crypto industry in the long run. There are several reasons for this belief. We will consider some of these reasons in this article.
Elon Musk Ongoing Relationship With The Crypto Industry
New Twitter owner Elon Musk has a solid relationship with the crypto industry. It is common knowledge that Musk owns and holds the leading crypto asset, Bitcoin. At the B conference in July 2021, Musk confirmed that his aerospace company SpaceX had Bitcoin holdings.
At the time, Musk also confirmed that he owned Ether and Dogecoin. Besides owning these digital assets, Musk has also played some role in building the crypto ecosystem.
For example, Musk aided in the formation of the Bitcoin Mining Council alongside MicroStrategy CEO Micheal Saylor. The council promotes the use of renewable energy among bitcoin miners.
Additionally, Musk has been providing advice to developers behind the Dogecoin asset since 2019. Musk and these developers are working to make Dogecoin a greener and cheaper alternative to Bitcoin. According to the developers behind Dogecoin, Musk offered to fund their project; however, they declined.
Besides aiding in developing the crypto industry, Musk also enjoys a strong community following in the crypto space. As a result, his statements and actions sometimes lead to increases in the value of some crypto assets. However, at other times, some assets' value has dropped due to concerns expressed by Musk.
For example, the value of Dogecoin increased after news broke about the completion of Musk's Twitter takeover bid. On October 24, Dogecoin was in the $0.059 price range. However, after news of the takeover broke price rose to $0.15 by October 29.
Musk's ties with this space and his strong community following make him a persuasive authority in the crypto industry. Thus, he is in an excellent position to incorporate crypto-based features into Twitter due to his current understanding of the industry. With Twitter's popularity, such a move could contribute to crypto adoption globally.
Binance's Current Collaboration With Elon Musk And Twitter
As an equity investor in Twitter, Binance is now actively part of the platform's growth. Binance aims to link the blogging site with Web 3.0 through blockchain and crypto to grow the platform.
Also, Binance is putting together an internal team to fight off Twitter bot accounts using blockchain technology. In an interview with the crypto blog Decrypt, an official from Binance commented on this development:
Binance is creating an internal team to focus on ways blockchain and crypto could be helpful to Twitter and actively brainstorming plans and strategies that could help Elon Musk realize his vision.
This collaboration holds out an excellent opportunity for the crypto industry. The move guarantees a crypto-based solution to Twitter's bot problem. Arriving at a successful and lasting solution to this problem will open several doors.
For instance, it will help facilitate the integration of other blockchain features into the platform. Also, it may quicken the incorporation of digital assets as a payment option for users on the platform.
X “The Everything App”
Before purchasing Twitter, Musk has often spoken about making X "The Everything App." An October 4 tweet spoke about the purchase of Twitter, accelerating the development of "The Everything App."
Based on Musk's description, X will operate as multiple apps all in one app. Existing super apps offer different services to their users. They enjoy social media activities, messaging, peer-to-peer payments, shopping, and commercial services in one app.
Due to their decentralized nature, cryptocurrencies are perfect for cross-border peer-to-peer transactions. It is not surprising that Twitter is already developing its crypto wallet.
A report of this development was initially made public on Twitter by security researcher Jane Manchun Wong. Jane is also a winner of the Forbes 30 Under 30 award.
As part of the Everything App, Twitter users can make purchases on other apps. They will be able to receive and store crypto assets on mobile devices.
This feature allows millions of unbanked users to access a reliable banking system. Upon completion, Twitter's new crypto payment option will undoubtedly increase the adoption of digital assets worldwide.
Conclusion
The crypto industry will benefit significantly from the recent purchase of Twitter by Elon Musk. On an individual basis, Musk has been active in solving crypto-related problems.
Thus, he is fully aware of the industry's potential and rewards. Additionally, his ongoing collaboration with Binance will see blockchain technology and crypto deployed toward solving problems on Twitter.
Additionally, these tools will help Musk actualize his vision for Twitter. They will also play a crucial role in developing X "The Everything App."
All of these factors will aid in the rapid growth of the global crypto industry. Thus we expect to see more adoption of digital assets with the launch of crypto-related features and services on Twitter.
