Fun

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

News Feed - 2022-02-08 08:02:08

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


Elon Musk’s electric car company, Tesla, has filed an annual report with the U.S. Securities and Exchange Commission (SEC) showing bitcoin holdings with a fair value of almost $2 billion at the end of December. The company sees crypto as both an investment and liquid alternative to cash. Tesla Has $2 Billion in Bitcoin


Tesla filed an annual report with the U.S. Securities and Exchange Commission (SEC) Friday.


“We continue adapting our investment strategy to meet our liquidity and risk objectives, such as investing in U.S. government and other marketable securities, digital assets and providing product-related financing,” the company wrote, adding: The fair market value of our bitcoin holdings as of December 31, 2021, was $1.99 billion.


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


Tesla’s latest financial statement shows that the company’s “carrying value” of its bitcoin at the end of December was $1.26 billion, which reflects cumulative impairments of $101 million. Tesla also “had $17.58 billion of cash and cash equivalents” as of Dec. 31. The company noted: In the year ended December 31, 2021, we recorded approximately $101 million of impairment losses resulting from changes to the carrying value of our bitcoin and gains of $128 million on certain sales of bitcoin by us.


The electric car company further told the SEC, “We may increase or decrease our holdings of digital assets at any time based on the needs of the business and on our view of market and environmental conditions,” elaborating: We believe in the long-term potential of digital assets both as an investment and also as a liquid alternative to cash.


Tesla’s 2021 annual report does not include income from the meme cryptocurrency dogecoin (DOGE), which the company began accepting for payments for some merchandise in January this year. Elon Musk has said on several occasions that dogecoin is the best crypto for transactions while bitcoin is more suitable as a store of value. Tags in this story Elon Musk, elon musk bitcoin, elon musk tesla bitcoin, Tesla, tesla bitcoin, tesla bitcoin holdings, tesla doge, tesla dogecoin


What do you think about Tesla holding $2 billion in bitcoin? Let us know in the comments section below. Kevin Helms


A student of Austrian Economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open-source systems, network effects and the intersection between economics and cryptography. Binance Warns Crypto Investors of "Massive Phishing Scam via SMS" FEATURED | 17 hours ago Sneaker Giant Nike Sues Online Retailer for Selling Unauthorized Nike Shoe NFTs FEATURED | 19 hours ago


Image Credits: Shutterstock, Pixabay, Wiki Commons Previous articleMoon: The Lunar Metaverse Launches Revenue Generating NFT Land Sale Disclaimer: 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 endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Read disclaimerShow comments More Popular NewsIn Case You Missed ItJPMorgan Lowers Its Bitcoin Fair Price Estimate to $38K Amidst Volatility


Leading investment bank JPMorgan has changed its view on the estimate of bitcoin"s price on a long-term basis. The institution had estimated a long-term price of $146K back in November when bitcoin was over $60K. One of the most important ... read more.Robinhood to Launch Crypto Trading Internationally — Sees "Immense Potential" in Crypto Economy Nobel Laureate Paul Krugman Likens Crypto Market to Subprime Mortgage Crash — Warns Regulators Are Making the Same Mistake Vitalik Buterin to Use $100 Million From Crypto Relief"s SHIB Funds to Accelerate Covid Relief Efforts Judge Orders Argentinian Soccer Association to Drop Binance Deal

News Feed

Mastermind of Alleged Billion Dollar Spanish Pyramid Scheme Arrested, Faces 16 Year Prison Sentence
Mastermind of Alleged Billion Dollar Spanish Pyramid Scheme Arrested, Faces 16 Year Prison Sentence The CEO of Arbistar the Spanish investment company, Santiago
Amaka Nwaokocha11 hours agoIndian government set to introduce rules against deepfake menaceIn talks with stakeholders, Minister Ashwini Vaishnaw aims to finalize the Indian government’s AI deepfake regulations in the c
Konami to Keep Selling NFTs to ‘Preserve Content’
Konami to Keep Selling NFTs to "Preserve Content" Konami, one of the leading Japan-based game developers, elaborated on its future policy regarding NFTs. In its latest financial re
Zksync Devs Plan to Launch Layer 3 Scaling Solution Called ‘Opportunity’ in Q1 2023
Zksync Devs Plan to Launch Layer 3 Scaling Solution Called "Opportunity" in Q1 2023 Matter Labs, the team behind the Ethereum layer two (L2) scaling protocol Zksync, revealed the d
Mid-Way Cool Down: Analysts Believe Bitcoin Price Cycle Is Incomplete, Trader Says BTC’s ‘Next Move Should Be Cycle’s Top’
Mid-Way Cool Down: Analysts Believe Bitcoin Price Cycle Is Incomplete, Trader Says BTC’s "Next Move Should Be Cycle"s Top" The price of bitcoin is down 16% over the last 30 days
Bitcoin Weekly RSI Entering Power Zone – Last Time BTC Soared 80%
Este artículo también está disponible en español. Bitcoin experienced an explosive surge yesterday, with bulls driving the price to a new all-time high (gain) at $89,980.
Makaveli Album 25th Anniversary Digital Collection Available Now
Makaveli Album 25th Anniversary Digital Collection Available Now press release PRESS RELEASE. Hollywood, CA–Riskie Forever, renowned creator of the iconic album cover art of
Celsius Approved to Sell Mined Bitcoin, Customer That Lost 50,000 USDC Insists Her Regulated Stablecoins Should Be Treated Differently
Celsius Approved to Sell Mined Bitcoin, Customer That Lost 50,000 USDC Insists Her Regulated Stablecoins Should Be Treated Differently On August 16, the crypto lender Celsius Netwo
Marcel Pechman7 hours agoBitcoin investor sentiment slumps to a new low, even as macro and equities show improvementThree key Bitcoin price indicators explain why the BTC price continues to fall toward new lows.1964 Tota
Trump's RNC speech gave tech enthusiasts hope for the future
Christopher Koopman1 hour agoTrump"s RNC speech gave tech enthusiasts hope for the futureResidents of Silicon Valley have been boarding the Trump train, and Trump"s speech at the RNC illustrated some of the reasons.381 T
SEC pushes back against Terraform’s claims fraud happened outside US
Turner Wright4 hours agoSEC pushes back against Terraform’s claims fraud happened outside USLawyers for the commission cited several examples of Do Kwon touting UST to U.S. investors and Terraform’s former communicat
Polker Is Integrating Chainlink Price Feeds Into Its Multi-Crypto Marketplace
Polker Is Integrating Chainlink Price Feeds Into Its Multi-Crypto Marketplace sponsored Polker is proud to announce the upcoming integration of Chainlink Price Feeds. By integrating