Rep. Ro Khanna (D-Calif.) has thrown down the gauntlet: he wants to debate Elon Musk on live TV. The challenge comes after a bitter online exchange between the Silicon Valley Democrat and the world's first trillionaire, centered on Musk's tenure leading the Department of Government Efficiency (DOGE).

In a CNBC interview Monday, Khanna made his pitch: "I challenge him to a debate … do it on CNN, do it on CNBC, do it at a university, he can pick the setting and let's debate what happened at DOGE, let's debate why I'm for a wealth tax." He added, "We can have a conversation of ideas if he believes in free speech and free expression about these issues."

The challenge followed an intense exchange on X, the social media platform Musk owns, after Khanna said Musk should answer for potential deaths tied to DOGE's dismantling of the U.S. Agency for International Development (USAID).

Musk Threatens Lawsuit Over USAID Claim

Musk said Monday he would sue Khanna after the congressman claimed the SpaceX chief "possibly sentenced to death" 4.5 million children through DOGE budget cuts. "Time to sue this liar," Musk posted in response to a New York Post story on Khanna's remarks.

Seventeen minutes later, Musk followed up with another post defending DOGE's process. "The standard applied by DOGE was very simple and easy: Provide contact information for the recipients of aid, so that we can confirm it is not fraudulent. The reality is that money was being sent to corrupt politicians under the guise of aid! Liars and stock insider traders like Ro the Robber should be in prison!!"

Khanna had earlier said on the "I've Had It" podcast that Musk should face scrutiny if Democrats regain control of Congress. "He needs to be subpoenaed, he needs to face investigation, he needs to answer for what he did with DOGE. It's not just 'let's move on,'" Khanna said.

MarketDash reached out to Musk through SpaceX and Tesla, as well as Khanna's office, but did not hear back at the time of publication.

Musk's Wealth Fuels Wider Tax Fight

Musk also accused Khanna of benefiting from congressional insider trading and repeated that the claim DOGE cuts accelerated the deaths of millions of children was a "total lie." He said DOGE required aid recipients to provide contact information so officials could verify the legitimate use of funds, and he cited a Justice Department case involving a USAID official and three corporate executives who pleaded guilty in a decade-long bribery scheme. "Multiple people from USAID have been charged by the Justice Department with stealing money. Moreover, they pled GUILTY!!" Musk said.

The clash comes as Musk's wealth has drawn broader scrutiny after SpaceX's blockbuster IPO. Economist Peter Schiff recently criticized Space Exploration Technologies Corp. (NASDAQ:SPCX) CEO Musk's trillionaire status, saying the IPO made him "the first person to surpass J.D. Rockefeller as the richest private citizen ever." Schiff added that "Adjusted for over 100 years of inflation, Rockefeller earned about $2 billion per year in real income," while Musk "earns nothing." He added, "What a difference a bubble makes."

Sen. Elizabeth Warren (D-Mass.) has also renewed calls for a wealth tax on Musk, saying such a levy could fund child care for every 4-year-old in the U.S.