Elon Musk Explained Why His Twitter Acquisition Is on Hold

  • May 13, 2022



Elon Musk informed that his acquisition of Twitter had been delayed because of issues related to fake accounts and scams on the popular social medial platform.

  • The CEO of Tesla and SpaceX made the news in April when it became known that he had purchased a 9.2% passive stake in Twitter. Shortly after, he dabbled with the idea of becoming a Board Member before refuting it.
  • However, he decided to go a step further and offered to buy the entire company and make it private. His buyout offer, worth approximately $44 billion, was accepted in late April.
  • Since then, though, it has been relatively quiet on that front, with just a few reports suggesting that he could become a temporary CEO after the takeover and that many companies, including Binance, backed his deal.
  • Even before he purchased a stake in the firm, Musk has always been vocal about the number of scams transpiring on Twitter as well as the worrying percentage of fake profiles. His name has been used in numerous impersonation frauds in the past, some even included Bitcoin.
  • As such, he promised to work towards cleansing the social media platform from these bad actors.
  • Citing a Reuters report informing that spam and fake accounts are less than 5% of total Twitter users, Musk updated on May 13 that the deal has been put “temporarily on hold pending details supporting” this claim.
  • Interestingly, Peter Schiff, one of the most vocal BTC critics, was quick to comment on Musk’s post, suggesting that the billionaire never actually intended to buy Twitter. Instead, Schiff believes he pushed the TWTR stocks higher to make a quick profit.
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