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Elon launches the America Party — But can he legally pull it off?

Musk launches a new party to fight back after Trump signs $4T mega-bill. PLUS: TON’s visa claims fall apart, Ethereum moves toward stability, and UK cracks down on crypto taxes.

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Cryptopolitan News
July 07, 2025 • Estimated Reading Time: 10 minutes

🏅 Elon Musk launched his own political party

Elon Musk didn’t just send a tweet this weekend. He launched a political campaign.

“Today, the America Party is formed to give you back your freedom,” he posted on X, less than a day after polling his 180 million followers on whether the U.S. needed a new party. The results? A two-to-one yes. And Elon wasted no time acting on it.

The timing was no coincidence. Just 24 hours earlier, President Trump signed a sweeping tax-and-spend bill into law. A move Elon had fiercely opposed. As the president now threatens to strip federal subsidies from Elon’s companies, tensions have snapped. Elon’s response: cut ties, go independent, and take control.

Musk vs. MAGA

Elon has pledged to spend his own fortune to unseat lawmakers who voted for the bill. That’s already causing panic among Republicans, who fear his new party could split the vote in 2026 and cost them congressional seats.

“Increasing the deficit from an already insane $2T under Biden to $2.5T — this will bankrupt the country,” Musk wrote, blasting Trump’s decision.

Can he actually do it?

Technically, yes. But it’s complicated.

Each U.S. state has its own rules for party recognition and they’re designed to keep outsiders out.

In California, for example, Musk would need to gather 1.1 million signatures or register 0.33% of all voters. After that, the party must win 2% of the vote in future elections just to stay on the ballot. Multiply that complexity across 50 states, and you get a legal marathon.

Election law expert Brett Kappel told CBS News, “Only the richest person in the world could make a serious effort at creating a new American political party.” Even then, it could take years.

But Elon doesn’t need 50 states

Instead, he’s playing a smarter game.

If those candidates win and hold the deciding votes. he controls legislation without needing a national majority. It’s political disruption by design.

The bigger picture

Third parties in America almost never break through. The Green Party and Libertarians have spent decades just trying to stay on ballots. But Elon has what they lacked: money, media power, and an already-mobilized digital army.

Whether the America Party survives or not, it’s clear that Musk has entered the political arena with full force. The 2026 midterms just got a whole lot more unpredictable and Donald Trump may have just created his loudest opponent yet.

Treasury Secretary Scott Bessent publicly trashed Elon Musk just one day after the billionaire tech boss announced he’s creating his own political party.

📊 Market Watch:

Toncoin (TON) soared 10% over the weekend after news broke that staking $100,000 worth of the token could qualify users for a UAE golden visa. The buzz started with a post from The Open Network, amplified by Telegram CEO Pavel Durov, and quickly drove the price to $3.03.

But the rally didn’t last.

On Monday, UAE authorities shut down the claim. In an official statement, they clarified that digital asset investments don’t automatically qualify anyone for a golden visa. TON dropped to $2.84 following the news — a 6% slide from its recent high.

What caused the confusion?

The Open Network said users could stake $100K in TON for three years and pay a $35,000 “processing fee” to apply. Durov reposted the announcement on X, giving it legitimacy in the eyes of many. But others, including Binance founder CZ, weren’t convinced.

“It might still be true, just saying I haven’t been able to verify,” CZ wrote, adding that if it were real, it would likely come with a formal government announcement.

Skeptics pointed out that the $35K fee may have simply gone toward forwarding applications to third-party agents.

UAE sets the record straight

According to the Emirates News Agency, multiple federal authorities including the country’s Virtual Assets Regulatory Authority (VARA)—denied any link between crypto holdings and golden visa eligibility. They urged the public to rely only on official channels for such information.

The golden visa program, launched in 2019, is designed to attract top-tier talent and investment. Current pathways include:

  • AED 2 million+ in real estate investments

  • Business owners with annual tax contributions of AED 250,000 or more

  • Entrepreneurs with approved ventures

  • Skilled professionals earning AED 30,000+ monthly

  • Scientists, creatives, retirees, and exceptional students

Crypto, for now, isn’t on that list and jumping the gun might cost investors more than just price dips.

Crypto traders will face fines of up to £300 if they fail to provide their personal details to the cryptocurrency service providers they use to make sure they are paying the right amounts to His Majesty’s Revenue and Customs

🧪 Protocol Watch

Ethereum’s co-founder Vitalik Buterin, alongside researcher Toni Wahrstätter, has proposed a major change to how transactions work on the network. The new proposal, EIP-7983, puts a cap on the maximum gas limit per transaction at 16.77 million (or 2²⁴).

It’s a technical change but one with deep implications for Ethereum’s performance, security, and future scalability.

What’s changing?

  • Ethereum will now reject any transaction that tries to use more than 16.77 million gas.

  • This limit applies regardless of the current block gas limit set by validators.

  • Transactions exceeding the cap will be automatically rejected with a specific error code before they’re even processed.

Why does it matter?

Currently, a single transaction can, in theory, eat up an entire block’s gas allowance. That’s a serious vulnerability:

  • It opens the door to DoS attacks, where a malicious transaction crowds out others.

  • It also complicates zk-rollups and parallel execution models, both of which rely on predictable, manageable transaction sizes.

By capping transaction gas usage:

  • zkVMs (zero-knowledge virtual machines) will become easier and faster to implement.

  • Transaction processing will be more stable and fair, with gas spread more evenly.

  • The network becomes more resilient and scalable especially as Ethereum continues its push toward multi-threaded execution.

Why 16.77 million?

Vitalik and Toni argue that 2²⁴ gas strikes the ideal balance:

It allows for complex DeFi and contract deployments while still offering execution predictability.

This isn’t Ethereum’s first attempt at gas caps:

  • EIP-7825, proposed last November, suggested a 30 million limit based on average block size.

  • But many developers felt that was still too high—and EIP-7983 is the leaner follow-up they wanted.

The debate about the longevity of Bitcoin has been ongoing for years. Most people would say that Bitcoin will end because of quantum technology, but now there’s another answer.

Market-moving headlines 🔥

Over the past decade, the US Secret Service’s Global Investigative Operations Center (GIOC) has quietly recovered nearly $400 million in digital assets from cybercriminals, emerging as a formidable force in global crypto enforcement.

Six months into the enforcement of the European Union’s Markets in Crypto-Assets Regulation (MiCA), nearly 40 crypto-asset service providers (CASPs) have been authorized to operate across the EU.

The week ahead is fully dominated by a mix of geopolitics, Federal Reserve policy signals, high-stakes trade decisions from the Trump administration, and corporate earnings.

Hong Kong may begin issuing stablecoin licenses before the end of 2025. Still, the number will likely remain in the “single digits,” according to Christopher Hui, Secretary for Financial Services and the Treasury.

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