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  • 02 Jun 25

Elon Musk Announces XChat With “Bitcoin-Style Encryption” and Rust-Based Code

Among the announced features are end-to-end encryption, disappearing messages, support for audio and video calls and more.

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Elon Musk has announced a new generation of XChat. Among the declared features are end-to-end encryption, disappearing messages, support for audio and video calls, and the ability to send any file types.

According to Musk, the new tool is built using the Rust programming language and employs “Bitcoin-style encryption,” positioning itself as a technologically independent alternative to other messengers with a strong focus on privacy.

According to the announcement, the service will support end-to-end encryption and a privacy mode similar to Signal and Telegram. Musk also stated that calls will not require a phone number. Features such as disappearing messages and the ability to send any file, including multimedia, are also expected.

Skepticism Around “Bitcoin-Style Encryption”

Some users criticized the term “Bitcoin-style encryption.” A user under the name S Tominaga pointed out that Bitcoin does not use encryption in the traditional sense: all transactions are public and protected only by ECDSA signatures and SHA-256 hashing. These methods ensure integrity and authenticity, but not privacy.

According to him, using such a term is misleading.

“Bitcoin doesn’t encrypt or conceal anything. On the contrary — the asset creates a transparent event log accessible to anyone. Therefore, comparing it to a private messaging system is incorrect,” he said.

Another user, Shaw, noted that Bitcoin’s original code is written in C++, while client implementations in Rust appeared later. He also added that the language does not make the code “magically” more secure — implementation matters more than the technology itself.

Disappearing Tweets

Continuing the discussion, representatives from Autism Capital suggested developing the idea of disappearing messages by adding an auto-delete function for tweets. For example, posts relevant for only a day or two could be automatically removed, keeping timelines clean. This could also reduce the platform’s load and eliminate outdated content.

Comparison With Competitors

Meanwhile, users have already started comparing XChat with other secure messengers. For example, Signal offers full end-to-end encryption and collects almost no data, but it has limited functionality. Telegram, on the other hand, provides more features but only encrypts secret chats by default, while metadata is still retained. XChat, in contrast, promises integration with other X services but has yet to undergo any external security audits.

Part of the X Super App

Representatives of Trump Army on X reminded that XChat may be just one module of the upcoming X super app. Within this platform, X aims to replace social networks, search engines, messengers, fintech services (X Money), marketplaces, and even access to government services. According to this plan, X’s services are meant to cover nearly all user needs on the internet.

Currently, XChat is probably in beta testing. It is presumably available only to X Premium subscribers. To access it, users must update the X app and check the direct messages section — XChat may appear as a new tab or icon. In some cases, entering a PIN code is required. Musk has not yet stated when XChat will be available to everyone.

Zhao stepped down as CEO of Binance and pleaded guilty to money laundering charges. In April 2024, he was sentenced to four months in prison.

SEC Policy Shift

The decision to withdraw the lawsuit aligns with a broader shift in policy: under the administration of Donald Trump, the SEC is winding down several cases initiated during Joe Biden’s presidency. The SEC had previously dropped claims against Ripple, Consensys, and Kraken, and ended investigations into Circle, Immutable, and OpenSea.

SEC Chairman Paul Atkins, appointed by Trump and formerly a cryptocurrency lobbyist, announced plans to establish a regulatory framework for digital assets. The regulator has also launched a series of industry meetings to discuss future policy directions.

Market and Industry Reactions

Binance called the joint motion “a huge win for the sector.” In a post on X, the company thanked Trump and Atkins “for pushing back against regulation by enforcement.”

Changpeng Zhao responded with a post reading “crypto is still here,” directed at former SEC Chairman Gary Gensler, who had initiated the original lawsuit.

This post is for informational purposes only and is not an ad or investment advice. Please do your own research making any decisions.

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