Tesla finally invests in Bitcoin and accepts BTC as payment
- In the SEC filing, Tesla disclosed that it had bought $1.5 billion worth of Bitcoin.
- BTC rose 10% shortly after the news of the purchase broke on Twitter, and Bitcoin posted a new all-time high of $44,739.
- Even by Tesla standards, the $1.5 billion investment represents a significant chunk of cash.
- Tesla unveiled that it will be accepting BTC as payment for its products.
- Tesla, Inc. (TSLA) opened at $873.6, around +2% on Friday close price, according to Yahoo Finance.
- Tesla's CEO Elon Musk was quite active lately, tweeting about
and . - Right now, 1 BTC will buy you a Tesla Model 3, Dual Motor All-Wheel Drive (Long Range).
- The option to purchase a Tesla product with Bitcoin will be available in the near future.
BREAKING: $TSLA bought $1.5 in #Bitcoin. $BTC passed $43k following the news. Check #BTC price in real time: https://t.co/ulGJHIZBPy https://t.co/40D6RFuWzS
— CoinCodex (@CoinCodex) February 8, 2021
In the SEC filing, Tesla disclosed:
We hold and may acquire digital assets that may be subject to volatile market prices, impairment and unique risks of loss.
In January 2021, we updated our investment policy to provide us with more flexibility to further diversify and maximize returns on our cash that is not required to maintain adequate operating liquidity. As part of the policy, which was duly approved by the Audit Committee of our Board of Directors, we may invest a portion of such cash in certain alternative reserve assets including digital assets, gold bullion, gold exchange-traded funds and other assets as specified in the future. Thereafter, we invested an aggregate $1.50 billion in bitcoin under this policy and may acquire and hold digital assets from time to time or long-term. Moreover, we expect to begin accepting bitcoin as a form of payment for our products in the near future, subject to applicable laws and initially on a limited basis, which we may or may not liquidate upon receipt.
