March 5, 2024 11:47 am | 2 minute read |
Electric vehicle (EV) company tesla company (NASDAQ:TSLA) owns a lot of stocks. Bitcoin (CRYPTO: BTC) — First position taken in January 2021.
Let's take a look at Tesla's Bitcoin history and how much his current holdings are worth.
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what happened: Tesla announced a $1.5 billion acquisition in February 2021.This announcement was made shortly after the CEO Elon Musk I talked to Micro Strategy Co., Ltd. (NASDAQ:MSTR) Executive Chairman michael saylor We had a conversation on X (formerly Twitter) about EV giants adding Bitcoin.
Tesla later announced that it sold $272 million of Bitcoin in the first quarter of 2021. Tesla also said it would sell its remaining 75% of its Bitcoin holdings in July 2022, contributing $936 million in cash to the company.
The Austin, Texas-based company said the initial sale was done to test the liquidity of major cryptocurrencies, and criticized Musk and the company on social media for selling early and not having a “diamond hand.” Some people criticized it.
Tesla previously accepted Bitcoin as a payment option for its vehicles before ending this practice due to concerns about the energy consumption used in Bitcoin mining.
The total amount of Bitcoin that Tesla previously purchased and currently holds is not known exactly, but many estimate it based on the price of Bitcoin at a specific point in time.
Most estimates say Tesla currently holds 9,720 Bitcoin.
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The company ended the fourth quarter with $184 million in digital assets on its balance sheet.This includes Bitcoin and dogecoin (Code:Doge). The company accepts his Dogecoin as a payment option for products.
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Tesla's Bitcoin value: Based on an estimated 9,720 Bitcoin holdings, Tesla's Bitcoin value is now $662.1 million. This is based on the Bitcoin price of $68,121.56 at the time of this writing.
On Tuesday, Bitcoin hit a new all-time high, surpassing its previous high of $68,789.63.
While companies like MicroStrategy have plans to acquire and hold Bitcoin for the future, Tesla previously bought Bitcoin as an experiment and sold a large portion of its position.
With Bitcoin hitting new all-time highs, it could make sense for Tesla to sell, and its next quarterly earnings report could be an opportunity for investors to see if there's a sale. .
If Tesla were to sell Bitcoin now for $662.1 million, the total would be $1.87 billion. This will benefit from the company's original $1.5 billion acquisition in 2021.
Tesla's Bitcoin stock was once worth $2 billion before it began selling most of its holdings.
Read next: Bitcoin surpasses $60,000 – is crypto winter officially over?
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