Tesla sold $936M worth of Bitcoins

In the second quarter of 2022, electric car manufacturer company Tesla sold almost 75% of its BTC holdings.

Tesla is a popular electric car manufacturer company, which provides automatic driving features in its car model. In February 2021, Tesla announced that the company purchased $1.5 billion worth of Bitcoins. In March 2021, the company announced to accept Bitcoin payments as a choice but later in mid-2021 company suspended Bitcoin payment options and called Bitcoin a good store of value but not a good payment option.

On 20 July, Tesla revealed that the company sold almost 75% of its Bitcoin holdings. With the sale of Bitcoin, company collected a total of $936 million to add on its balance sheet. 

Through the conference call, Tesla CEO Elon Musk confirmed that the Bitcoin sale step by Tesla should not be considered as its core decision toward Bitcoin because this step was taken by the company because of the liquidity concerns given the continued Covid lockdowns in China.

“The reason we sold a bunch of our Bitcoin holdings was that we were uncertain as to when the Covid lockdowns in China would alleviate. So it was important for us to maximize our cash position.”, Elon said.

At the same time, the Tesla CEO confirmed that the company will purchase Bitcoin in the future. But interestingly, the statements of Tesla’s CEO are not matching with past tweets, where he said that he will never sell his Bitcoin, Ethereum & Dogecoin holdings.

These things are showing that no one can surely say whether the Tesla CEO is a fan of Bitcoin or not. Overall this news impacted the crypto market negatively. 

Due to this news, the Bitcoin price plunged by around 2%. The current price of Bitcoin is $22,906.

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