Grok, Elon Musk's AI, in turmoil after anti-Semitic remarks

Elon Musk, visionary to some, provocateur to others, finds himself once again under fire. His artificial intelligence (AI), Grok, is accused of relaying anti-Semitic and white supremacist speeches. Between controversial federal contracts and links to extremist websites, could this controversy also shake the crypto ecosystem?

Grok, an “anti-woke” AI with extremist drifts

Launched as an “anti-woke” alternative to ChatGPT, Grok is developed by xAI, a company founded by Elon Musk. Yet, this AI supposed to embody freedom of expression is today being criticized for its drifts. Recent analyses, notably conducted by Cornell University, reveal that Grokipedia, an online encyclopedia fueled by Grok, cites neo-Nazi sources like Stormfront or white supremacists like VDare.

The most striking incident remains when Grok self-described as “MechaHitler“, a pro-white supremacist avatar, on the X platform. These revelations caused outrage from numerous organizations, including Public Citizen, which denounces a dangerous normalization of hate and asks for the halt of Grok’s use. How can an AI promoted as a tool of free thought come to relay such ideologies?

Grok: federal contracts despite scandals — a danger for democracy?

Despite the controversies, Grok continues to advance in institutional spheres. In July 2025, xAI signed a $200 million contract with the Pentagon before Grok was made accessible to all federal agencies via the General Services Administration. A decision that worries, as this AI could be used to evaluate loan, visa, or social aid applications, with a real risk of algorithmic discrimination.

Associations have been warning for months about the dangers of Grok, without getting a response from the Office of Management and Budget. Under the Trump administration, Grok is presented as an alternative to “woke” AIs. But this political orientation does not justify its drifts. Transparency is lacking: Grokipedia, unlike Wikipedia, relies on an opaque editorial process! This raises questions about the reliability of its content.

Dogecoin: when Elon Musk’s controversies impact crypto

Elon Musk is not only a major player in AI, he is also an essential figure in crypto, notably thanks to his support for Dogecoin. His tweets have often made this crypto jump or fall, perceived as a symbol of his community. But could the controversies around Grok affect DOGE?

In 2021, a controversy around Tesla had already repercussions on bitcoin. Today, some investors wonder: could scandals related to Grok weaken confidence in projects supported by Musk? The crypto community is divided. Some defend Musk, arguing that Grok is an independent project, while others call for caution. One thing is sure: in an ecosystem as volatile as crypto, a controversy can change everything.

Accused of influencing Grok with his political opinions, Elon Musk therefore faces a double challenge: reassuring on the reliability of his AI tools and preserving the image of his other projects, like DOGE. Could this controversy mark a turning point in the perception of his initiatives?