Elon Musk relaunches AI-driven Vine spurs 120% surge in Vine Coin after July 24 announcement

Elon Musk announced the relaunch of the defunct short-form video platform Vine in an artificial intelligence format, reigniting speculation about its role in the social media and cryptocurrency ecosystems. The Tesla and SpaceX CEO hinted at the project in a July 24, 2025, post on X (formerly Twitter), stating, “We’re bringing back Vine, but in AI form,” without elaborating further. The move follows a 2024 poll on X where 70% of users voted to revive the platform. Vine, originally launched in 2012 as a six-second looping video app acquired by Twitter for $30 million in 2013, was discontinued in 2017 due to competition from platforms like YouTube and Snapchat. Its return, however, has already triggered a surge in a cryptocurrency named Vine Coin, which spiked 120% following the announcement before retreating to $0.0538 from a $0.40 peak in January. Analysts suggest that integrating features like real-time trend tagging and token-gated content could position Vine as a hub for “crypto-native social capital”[1].

Musk’s vision for Vine aligns with his broader strategy to transform X into an “everything app,” incorporating AI-driven tools and financial services. The relaunch comes amid growing uncertainty over TikTok’s future in the U.S., where the government has raised security concerns about the ByteDance-owned platform. Social media experts caution that regaining user traction will be challenging, given TikTok’s dominance and X’s previous struggles with short-form video adoption. Nikki Martinez, a content lead at social media agency Hype, noted that “TikTok already has a strong culture and algorithm, and X’s video tab hasn’t resonated with creators yet. Unless Vine brings something different or offers immediate monetization, adoption will be slow”[1].

The cryptocurrency community has shown enthusiasm for the project, with Vine Coin’s price surge reflecting speculative interest. Illia Otychenko of CEX.io highlighted the potential for Vine to mirror the brevity of tweets, enabling “fast, engaging content tailored to crypto discourse”[1]. Shawn Young of MEXC proposed that AI-powered Vine could facilitate hyper-personalized meme culture, leveraging blockchain data to create real-time sentiment indexing tools for Web3. He emphasized that for the crypto sector, “this could be another inflection point, where memes and trends directly influence markets”[1].

Challenges remain, however. Vine’s original failure stemmed partly from its lack of monetization options for creators, a gap now addressed by platforms like YouTube. Analysts question whether an AI-driven Vine can offer unique value beyond existing tools, especially if it lacks robust creator incentives. Martinez stressed the importance of authenticity, warning that “auto-generated content won’t land unless it adds real connections”[1]. Meanwhile, Vine Coin’s volatility underscores the speculative nature of the project, with its 85% decline from a high of $0.40 indicating market skepticism.

Musk’s relaunch could reshape social media dynamics, particularly if Vine integrates with X’s AI chatbot Grok or other ventures like Dogecoin. The platform’s success will hinge on its ability to innovate beyond nostalgia, offering tools that blend AI creativity with crypto-native features. While the revival reflects Musk’s strategy to dominate multiple tech sectors, the path to redefining Vine’s legacy remains uncertain, requiring both technological ingenuity and user trust.

[1] Source: [title1Elon Musk Is Relaunching Vine in ‘AI Form’: What You Need to Know] [url1https://cryptonews.com/exclusives/elon-musk-is-relaunching-vine-in-ai-form-what-you-need-to-know/].