Robert Steinadler, 8 months ago
There was a lot of disappointment when Tesla dropped Bitcoin as a payment option last year and even more so when it became clear that the company sold some of its Bitcoin holdings this summer. In the meantime, Elon Musk was busy promoting Dogecoin, buying Twitter, discussing freedom of speech, and promoting his own idea of a peace plan for Russia and Ukraine.
How much BTC is Tesla still holding and will Bitcoin become more important in the next few years?
It was during the second quarter of this year when Tesla decided to sell 75 % of its Bitcoin holding. In hindsight, this was a sound decision given the fact that the market took hit after hit with each FOMC press conference.
The company sold almost $1 billion worth of BTC and the reason behind this move was the need for additional liquidity. China’s zero covid policy affected this decision by a large margin. Tesla’s Shanghai factory was burning money all the while the production was at a complete standstill.
Yesterday, the earnings report was released for the third quarter and it shows that Tesla still holds $218 million in crypto. Taking the current price for Bitcoin into account, this is about the same that the company held last quarter.
It was a big letdown for many Bitcoin enthusiasts when Tesla stopped accepting Bitcoin. Many hoped that Musk would be the shining tech beacon that would create a strong signal for the rest of the world to follow his example.
There was a lot of disappointment because Tesla dropped the support for BTC payments due to environmental concerns in 2021. Musk made it clear back then that Tesla could potentially reverse its decision if the mining industry would shift to green energy sources and business practices that are more friendly to the environment in general.
With the rising pressure from regulators, politicians, and NGOs it is only a matter of time before Bitcoin miners will adapt to new standards. For now, many are only seeking the cheapest energy resources. With the EU planning an energy efficiency label and the White House observing the impact of mining on climate change, it is only a matter of time. Bitcoin won’t change for a good reason and proof of work will secure the network in the future. Miners on the other hand can and will adapt to the green new deal just as any other industry. Once the shift is done, Musk and Tesla could proceed with their plans to accept Bitcoin again.
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Every year the Bitcoin community is celebrating the fact that somebody bought two pizzas online. This looks a little bit strange at first glance but it is one of the most important moments in Bitcoin’s history. What is Bitcoin Pizza Day all about and why is everybody celebrating it?
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The guys who self-identify as the Taproot Wizards - Eric Wall and Udi Wertheimer - entered the main stage of Bitcoin Miami to loud cheers. After their short and silly wizard dance, the panel discussion started in earnest. But not everyone in the Bitcoin community is a fan of their quirky attitude and projects.
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