Tesla Reveals It’s Still Holding Nearly $2 Billion in Bitcoin

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Image: Tesla

Bitcoin investors who are hoping for a potential pump from Tesla-driven headlines in the future can rest assure that the company still holds plenty of the world’s reigning cryptocurrency. As revealed in a new SEC filing, Tesla still holds $1.99 billion in BTC, which, according to current prices, amounts to around 430 Bitcoins. It’s unclear when Tesla will revive BTC as a potential payment option for its vehicles, however, following Elon Musk’s decision to suspend purchases with the cryptocurrency over environmental concerns.

Annual report which provides a comprehensive overview of the company for the past year (Tesla)

  • During the year ended December 31, 2021, we purchased and received $1.50 billion of bitcoin. During the year ended December 31, 2021, we recorded $101 million of impairment losses on such digital assets.
  • We also realized gains of $128 million in connection with selling a portion of our holdings in March 2021. Such gains are presented net of impairment losses in Restructuring and other in the consolidated statement of operations.
  • As of December 31, 2021, the carrying value of our digital assets held was $1.26 billion, which reflects cumulative impairments of $101 million. The fair market value of such digital assets held as of December 31, 2021 was $1.99 billion.

Tesla (TSLA) is now holding about $2 billion in Bitcoin (Electrek)

  • The company noted concerns over the energy needs of the Bitcoin network: “Tesla has suspended vehicle purchases using Bitcoin. We are concerned about rapidly increasing use of fossil fuels for Bitcoin mining and transactions, especially coal, which has the worst emissions of any fuel.”
  • At the time, Tesla noted that they were not selling their stake in Bitcoin and that they planned to resume taking Bitcoin payments once the network shows a higher mix of renewable energy.
  • Last summer, CEO Elon Musk said that he believes Tesla will resume taking Bitcoin payment as he sees improvements in the energy mix of Bitcoin mining.
Tsing Mui
News poster at The FPS Review.

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