EU fines Elon Musk’s X $138 million; platform agrees to modify its blue tick verification system

Elon Musk-owned social media platform X (formerly Twitter) has reportedly agreed to change its verification mechanism in the European Union. The EU has also fined X of €120 million ($138 million). According to a Bloomberg report, the commission fined X in December 2025 under its content moderation law, the Digital Services Act, alleging that its system of giving verification badges to paying users was deceptive. The report now quotes European Commission spokesperson Thomas Régnier who said “X has submitted remedies in relation to its blue check mark”, adding “The commission will now carefully assess the proposed remedies”.

EU’s allegations against X

The European Union then said that X’s blue check system could mislead users. Earlier, the blue check mark was given to accounts of public figures such as journalists, celebrities and officials to show that the accounts were verified. However, after Elon Musk bought Twitter in 2022, the platform started offering the blue check as a paid feature.




The EU said this change could make users believe that accounts with the blue check are trustworthy, even if they are simply paying for the feature.


Regulators also alleged that X did not provide enough transparency about advertisements on the platform and did not allow independent researchers to access its public data.


According to the Bloomberg report, X has been asked by the EU to suggest solutions to fix the blue check issue by March 12 or face additional penalties. The company has appealed the fine and must either pay it or provide a financial guarantee by March 16.



Elon Musk's X and xAI plan $17.5 billion debt repayment


In another news, Musk-owned AI company xAI and X platforms are planning to repay $17.5 billion debt tied to the company. According to Bloomberg news, Morgan Stanley, which handled both companies’ debt raises, has been telling existing lenders on behalf of X and xAI that the firms will repay the outstanding debt. As per the report, the companies have not disclosed where the capital is coming from. The report quotes people, who asked not to be named because the details are private. To recall, xAI raised $20 billion of new equity money in January this year.