Musk’s XChat Goes Dark: Encryption Push Signals X’s Ambition to Disrupt More Than Social Media

Elon’s empire expands its claws into secure comms—because what the world needs is another ’private’ messaging app from a guy who treats NDAs like toilet paper.

XChat’s encryption promises may woo crypto-anarchists, but let’s see how long until the ’free speech absolutist’ caves to regulators—or monetizes your DMs.

TLDR

• Elon Musk announced XChat, X’s new messaging feature with encrypted conversations, vanishing messages, file transfers, and audio/video calls
• Musk claimed XChat uses “Bitcoin style” encryption built in Rust programming language
• Bitcoin developers corrected Musk, explaining Bitcoin doesn’t use encryption but cryptographic techniques like elliptic curve cryptography
• XChat is currently rolling out to paid X subscribers with four-digit passcode protection
• X is also testing X Money, a digital wallet feature set to launch in beta later this year

Elon Musk unveiled XChat, a new messaging feature for X, on Sunday that promises encrypted conversations and enhanced communication tools. The announcement sparked debate among cryptocurrency experts about the technical claims made by the X CEO.

XChat will include encrypted messaging, vanishing messages, file transfers, and audio and video calling capabilities. Musk described the feature as being “built on Rust with Bitcoin style encryption, whole new architecture” in his social media post.

All new XChat is rolling out with encryption, vanishing messages and the ability to send any kind of file. Also, audio/video calling.

This is built on Rust with (Bitcoin style) encryption, whole new architecture.

— Elon Musk (@elonmusk) June 1, 2025

The reference to “Bitcoin style” encryption prompted immediate pushback from bitcoin developers and cryptography experts. Bitcoin Core developer Luke Dashjr responded directly to Musk’s post, stating “Bitcoin doesn’t even use encryption.”

JAN3 CEO Samson Mow echoed this correction, writing “Bitcoin isn’t encrypted.” Other experts explained that Bitcoin uses cryptographic techniques rather than encryption for message confidentiality.

Technical Clarifications from Experts

Bitcoin actually relies on elliptic curve cryptography and SHA-256 hashing for key generation and transaction validation. These mathematical systems work like a lock where users have a secret private key and a public key derived from it on a calculated curve.

The system allows Bitcoin holders to prove ownership and authorize transactions without revealing private keys. This creates security without requiring a central authority, but it’s not the same as message encryption.

Eliza Labs founder Shaw Walters also questioned Musk’s reference to Rust programming language. He pointed out that “Bitcoin was written in cpp,” referring to C++, and that “Rust clients came later.”

BitMEX Research suggested Musk might have been referring to BIP-151, a Bitcoin Improvement Proposal designed to encrypt Bitcoin node data communication. However, no official clarification has been provided by X or Musk.

XChat Rollout Details

TechCrunch reported that XChat is currently rolling out to paid X subscribers. The feature appears to be protected by a four-digit passcode system for additional security.

X had previously paused its encrypted messaging feature on May 29 while working on improvements. This pause may have been related to the preparation for XChat’s launch.

The messaging feature represents part of Musk’s broader vision to transform X into an “everything app” similar to WeChat. This WOULD include services and features beyond typical social media platforms.

X Money Digital Wallet

X is also developing X Money, a digital wallet feature confirmed by Musk on May 25. The payments feature will launch in beta later this year with limited access initially.

Musk emphasized the cautious approach to the wallet feature, stating “when people’s savings are involved, extreme care must be taken.” The digital wallet marks another step toward X becoming a comprehensive platform.

Platform Expansion Context

The XChat announcement follows Musk’s recent departure from his position at the Department of Government Efficiency. He stepped down as a Special Government Employee on Wednesday after helping launch the federal waste reduction agency.

Musk also recently denied claims about a partnership with Telegram. Telegram CEO Pavel Durov had claimed a $300 million deal with Musk’s xAI company, but Musk responded that “no deal has been signed.”

The new messaging and payment features position X to compete with established platforms like Telegram, Signal, Venmo, and Cash App. XChat is currently available only to paying subscribers as the rollout continues.