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Why Is Donald Trump Ignoring Elon Musk's Call For 'Phase 2' Of The Epstein Files?

Murtuza J Merchant
July 17, 2025

A post by tech mogul Elon Musk questioning the whereabouts of further Jeffrey Epstein disclosures has reignited tensions over transparency in high-profile political and tech circles.

On Thursday, Musk took to X, formerly Twitter, and posted: "Where is phase 2?" a reference to unfulfilled expectations around the release of additional Epstein-related documents, long promised by President Donald Trump.

Despite Musk's public prompt, Polymarket traders remain unconvinced that Trump will follow through.

As of July 17, the prediction platform shows just a 15% probability that Trump will release more Epstein files before August.

The market has seen over $120,000 in volume, with the odds dropping 4 percentage points in the past 24 hours.

The data point to growing doubt amid prior indications from Trump's allies that the administration was considering the release of sensitive Epstein-linked files.

However, internal discussions reportedly centered around how such disclosures could trigger a backlash within Trump's base.

Some strategists are worried the move could damage Trump's alignment with MAGA-aligned factions that remain deeply divided on the Epstein narrative.

Speaker of the House Mike Johnson has publicly broken ranks with Trump on the matter.

"I'm for transparency," John said, signaling support for releasing Epstein-related information.

Trump, however, has been more cautious.

When asked earlier this month, he said: "You don't want to affect people's lives if it's phony stuff in there," suggesting hesitance over the contents of the files and their impact.

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Musk, who previously said that "Trump wants everyone to release the Epstein list except himself," has continued to apply public pressure.

The ongoing friction between Musk and Trump has sparked broader commentary on their influence over both the tech and political spheres.

Market watchers are also observing the fallout.

Since the public rift between the two figures began escalating, Tesla stock has shown signs of volatility.

Analysts have speculated that their strained relationship could be affecting sentiment in overlapping investor communities tied to both MAGA and Silicon Valley.

Meanwhile, Polymarket users are pricing in an 8% probability that Trump will appoint a special prosecutor for the case.

As the month-end deadline approaches, the data suggest that traders and possibly Trump himself, remain wary of opening what could be a politically explosive file.

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