Money
Tesla’s crypto stash – why is the price dropping?
Tesla sold $936 million worth of bitcoin, or 75% of its holdings, in the second quarter of 2022, sending the crypto’s value tumbling
The company wrapped up its second quarter with $218 million in the digital coin, which is down from the 1.26 billion it had stashed in the previous three quarters.
Leading into this reporting period, Tesla was holding roughly 42,000 bitcoin.
The news has sent the crypto markets tumbling, with the price of bitcoin falling about 1.7 per cent to $23,300.
It’s a stark difference to February 2021 when Musk announced his company purchased 1.5 billion worth of the digital coin, which sent the crypto surging.
In that same year, Tesla started accepting bitcoin as payment for its vehicles, but then reversed the decision citing environmental concerns.