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Masvidal succumbed to Covington's superior wrestling as he suffered a unanimous decision defeat at UFC 272.
The UFC superstar had a chance to put Covington away when he rocked him in the fourth round.
But he failed to capitalise, with 'Chaos' grinding out the victory in Las Vegas.
Masvidal, though, pocketed a huge purse having secured pay-per-view points, though Paul isn't buying that 'Gamebred' is rich.
He tweeted: "First of all Masvidal you ain’t rich."
First of all Masvidal you ain’t rich— Jake Paul (@jakepaul) March 6, 2022
In another tweet, 'The Problem Child' brought up McGregor and suggested the promotion match them up together, calling it a 50/50 fight.
He also taunted the Irishman, saying he and Masvidal both have weak chins.
Paul added: "We already know Conor can’t finish Diaz. Right fight to make is Masvidoll vs Macgregor. 50/50 fight, ends in KO. Both can throw and both have weak chins."
We already know Conor can’t finish Diaz— Jake Paul (@jakepaul) March 6, 2022
Right fight to make is Masvidoll vs Macgregor. 50/50 fight, ends in KO. Both can throw and both have weak chins
Masvidal has now lost his last three Octagon outings, with UFC president Dana White unsure what's next for him.
"I don’t know, that’s a good question," he said. "We knew tonight, whoever lost, 'What would be next?' and 'Where would they go?' And I don’t know, sitting right here, right now, I don’t know. On either one of them, even Colby, who won."
On Covington, who returned to the win column following his championship defeat to Kamaru Usman, White added: "The thing is too is that after a while no matter how much you hate him, you’ve at least got to respect him.
"The guy keeps winning fights and he’s a tough dude.
"I don’t know if I’ve had any bad words to say about him. I said he’s an a******. He’s an a******. Anybody disagree with that? He would probably even agree with that. No, I respect the kid."