Thursday, December 1, 2022
HomeTeslawith the collapse of Bitcoin, Elon Musk's company lost nearly $600 million

with the collapse of Bitcoin, Elon Musk’s company lost nearly $600 million

The price of cryptomonies continues to plunge. While it was estimated at nearly $60,000 a few months ago, Bitcoin is about to drop below the symbolic $20,000 mark. Like other companies that had invested heavily in the queen of cryptocurrencies, Elon Musk’s firm, Tesla, is also toasting.

Tesla © Reuters, Dado Ruvic

After peaking at over $60,000 and soaring for nearly a year, Bitcoin is about to break below $20,000. A great first since its explosion in popularity. You’re herewhich invested nearly $1.5 billion in Bitcoin last year, now finds itself with a capital in BTC of 900 millionaccording Bitcoin Treasure.

Bitcoin tumbles: An estimated $600 million loss for Tesla

Tesla and Bitcoin, it’s complicated. In February 2021, Elon Musk’s firm invested more than 1.5 billion dollars in BTC, or approximately 1.4 billion euros. A month later, the automaker announced that it was beginning to accept cryptocurrency as payment for the sale of its new vehicles. Only 49 days later, Tesla abandoned this option, due to the environmental impact of cryptocurrency.

We are concerned about the rapid increase in the use of fossil fuels for Bitcoin mining and transactions, especially coal, which has the worst emissions of all fuels. “indicated the firm of Elon Musk in a press release. It must be said that in 2019, virtual currency alone consumed more energy than Switzerland.

Later still, the firm of Elon Musk announced that it would accept Bitcoin again, provided that the network displays a higher mix of renewable energies. Last month, when Bitcoin was in full swing, Tesla delivered several Megapacks (huge lithium-ion batteries produced by the company) to a gigantic photovoltaic bitcoin mine.

Today, therefore, the firm of Elon Musk will have lost nearly 600 million dollars in BTC, as estimated Bitcoin Treasure. Despite a participation in BTC which represents only 10% of its cash and 0.1% of its total market capitalization, the capital of the firm was estimated at more than 2 billion dollars at the start of the year, before falling to 1.5 billion a few weeks ago. It is now estimated at 922 millionwhile the price of Bitcoin continues to fall.

Source: BitcoinTreasure

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