Tesla Holding Bitcoin Worth $2 Billion — Sees Crypto as Both Investment and Liquid Alternative to Cash – Featured Bitcoin News

Tesla, Elon Musk’s electric car company, submitted an annual report to the Securities and Exchange Commission (SEC) showing its holdings of bitcoin with a fair value of nearly $ 2 billion at the end of December. The company sees crypto as both an investment and a liquid option for cash.

Tesla has $ 2 billion in Bitcoin

Tesla filed its annual report with the US Securities and Exchange Commission (SEC) on Friday.

“We continue to adapt our investment strategy to meet our liquidity and risk objectives, such as investing in US government and other marketable securities, digital assets and product-related financing,” the company wrote. :

The fair market value of our bitcoin holdings as of December 31, 2021 is $ 1.99 billion.

The report explains that Tesla bought bitcoin worth $ 1.5 billion in early 2021 and later adopted cryptocurrency as a form of payment for some products in some regions. However, the electric car company suspended its adoption of BTC in May last year. In October, Tesla told the SEC that it could resume accepting cryptocurrencies.

Tesla’s latest financial report shows that the “shipping value” of its bitcoin at the end of December was $ 1.26 billion, reflecting a subsequent decline of $ 101 million. Tesla also had $ 17.58 billion in cash and cash equivalents as of Dec. 31. The company noted:

In the year ended December 31, 2021, we recorded a loss of about $ 101 million due to price changes taking our bitcoin and received $ 128 million on some sales of bitcoin by us.

“We can increase or decrease our digital asset holdings at any time based on business needs and our vision of the market and environmental conditions,” the electric car company told the SEC.

We believe in the long-term potential of digital assets, both as an investment and as a liquid option for cash.

Tesla’s 2021 annual report excludes revenue from the dogecoin cryptocurrency meme (DOGE), which the company began accepting for payments for certain items in January this year. Elon Musk has said on several occasions that dogecoin is the best crypto for transactions, while bitcoin is more affordable than a repository of value.

What do you think of Tesla holding $ 2 billion in Bitcoin? Let us know in the comments section below.

Kevin Helms

Austrian economics student Kevin discovered Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open source systems, network influence, and the intersection of economics and cryptocurrency.

Photo Credit: Shutterstock, Pixabay, Wiki Commons

Rejection: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell or a recommendation or approval of any product, service or company. Bitcoin.com does not provide investment, tax, legal or accounting advice. Neither the Company nor the Author is directly or indirectly liable for any damages or losses incurred or allegedly caused by or related to the use or reliance on the content of any goods or services. Mentioned in this article.



Source

Stay in the Loop

Get the daily email from CryptoNews that makes reading the news actually enjoyable. Join our mailing list to stay in the loop to stay informed, for free.

Latest stories

- Advertisement - spot_img

You might also like...