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January 27, 2022

Tesla Still Owns Over $1B Worth of Bitcoin

Tesla, the electric car company, has stated that its total bitcoin holdings have remained unchanged since the conclusion of the fourth quarter of 2021.

The corporation acknowledged in a Q4 earnings report released on Wednesday that it had neither added nor sold any bitcoins over the previous quarter.

Despite market volatility, Tesla’s bitcoin holdings stayed mostly stable in Q4 2021, and are now valued at $1.26 billion.

Tesla said roughly a year ago, in February 2021, that it had added $1.5 billion in Bitcoin. Following that, the company began accepting bitcoin as payment for its services, raising the value of the digital currency at the moment.

Later, though, the electric car company sold about 10% of its shares, ostensibly to demonstrate bitcoin’s liquidity, according to CEO Elon Musk.

Tesla, on the other hand, released a bombshell just two months later, announcing that it would no longer accept bitcoin as payment. The key reason for the company’s choice was the influence on the environment.

It has not acquired or sold any more bitcoin since then, however it is still considering resuming bitcoin payments at some point. According to the CEO, “Bitcoin is shifting heavily towards renewable energy use.”

While there have been rumors that Tesla has sold its bitcoin holdings, the company’s most recent financial report reveals that it is still HODLing.

Despite the fact that its BTC payment service is still unavailable, the company recently stated that it has began taking DOGE transactions.

Despite the crisis, numerous institutional investors remain optimistic about bitcoin’s future. One such investor is MicroStrategy, the largest institutional holder of the digital asset.

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MicroStrategy lost $4 billion in paper profit from its bitcoin acquisitions during the latest market fall. Unfazed, MicroStrategy’s CFO, Phong Le, stated that the company will continue to invest in bitcoin.