Tesla Motors’ Elon Musk follows in the footsteps of MicroStrategy and other companies, and distributes part of the balance sheet in bitcoin (BTC).
In a dossier released Monday by the Securities and Exchange Commission, the company announced that it has bought a total of $ 1.5 billion in bitcoin to be held as investments and storage of surplus value. The average purchase price and the amount of BTC purchased by the company is currently unknown. Tesla’s investment policy was updated at an unspecified point in January 2021, indicating that Tesla can store between $ 35,900 and $ 45,500 BTC, which equates to an average price of $ 42,000 and $ 33,000, respectively. Given Bitcoin’s price movement in recent weeks, The 45,500 BTC estimate is probably closer to the true amount.
As part of this policy, Tesla plans to give customers the opportunity to purchase their products in bitcoin, as needed. Unlike many other similar measures, the bitcoin it receives will not necessarily be liquidated in a short time, and will therefore most likely replenish its reserves.
In addition to Bitcoin, Tesla’s new investment policy allows the purchase of gold bars and gold-based funds or ETFs. The famous gold beetle and bitcoin skeptic Peter Schiff seems to have received little consolation in this fact, which indicates that Tesla’s BTC investment has already sold out as the market reacted to the news.
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The acquisition follows Elon Musk’s entry into the world of cryptocurrency. Leaving only about 0.25 bitcoins sent by a friend, Musk prepared cryptocurrencies and bitcoins by the beginning of the 2021 revolution.
Having previously called himself “CEO of Dogecoin”, he devoted several tweets to this meme-inspired coin. This received criticism from well-known Bitcoin fans who considered it irresponsible. However, the discovery of Bitcoin Mask seems to have much more tangible implications than the dynamic change on Twitter.