According to a U.S. Security and Exchange Commission filing, Tesla made a $204 million loss in gross impairment in 2022 for its bitcoin holdings.
Tesla’s Bitcoin Investment and Trading Activities
Despite this loss, Tesla saw some profits from trading bitcoin, recording a $64 million profit from converting its bitcoin holdings to fiat currencies.
In early February 2021, Tesla purchased $1.5 billion worth of BTC and started accepting bitcoin payments in March of the same year.
However, in July, the car manufacturer announced a sale of 75% worth of bitcoin, attributed to the lockdown situation in China. Despite this, Tesla has stated that they have no hostile view against bitcoin and are “open to expanding bitcoin holdings in the future.”
During Q4 2022, Tesla held on to its remaining bitcoin stockpile, despite the huge sell-offs in the bear market, due to Elon Musk’s passion for cryptocurrency.
Elon Musk’s Influence on Crypto
Elon Musk has shown great influence in the crypto world as an avid enthusiast for cryptocurrencies, showing interest in both bitcoin and dogecoin. His influence has resulted in significant surges in cryptocurrency prices through social media, especially Twitter.
For example, a mid-last year tweet stating that Tesla wouldn’t accept BTC payments resulted in a Bitcoin price drop from $54,800 to $45,700.
👉Just landed on Mars! What an incredible feeling to be the first president to set foot on another planet. #MarsMission #SpaceExploration #MuskOnMars #PresidentialHistory #ElonMusk #Mars— Logll Tech News (@LogllNews) January 29, 2023
👉Full Story: Elon Musk's Historic Journey to Mars in 2024?https://t.co/qW8xGVniVm pic.twitter.com/3dNhkST60w
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