Elon Musk: Tesla Now Accepts Bitcoin As Payments, Plans to Hold Them Further

24. Mar 2021 Posted by Akolkar B on News

More than a month after announcing its $1.5 billion Bitcoin (BTC) purchase, automobile giant Tesla is now accepting Bitcoin as payments against the car purchases. Tesla boss and CEO Elon Musk officially made the announcement earlier today.

A few hours back, Musk tweeted: “You can now buy a Tesla with Bitcoin. Tesla is using only internal & open source software & operates Bitcoin nodes directly. Bitcoin paid to Tesla will be retained as Bitcoin, not converted to fiat currency”.

As we can see from Musk’s tweet that Tesla is quite positive on the future of Bitcoin and is willing to hold it further rather than cashing it anytime soon.

Tesla’s entry into Bitcoin (BTC) has triggered the corporate race as big giants are willing to put part of their balance sheets into the world’s largest cryptocurrency. As it turns out, Tesla has already made solid profit from its Bitcoin purchases last month.

Tesla purchased Bitcoin when it was reportedly trading around $33K levels and at the current price levels, the company is already sitting on over $1 billion in net profits on its investments. This is more than the money that Tesla made by selling cars in one of its most spectacular years of 2020.

Elon Musk has been quite vocal about his support for Bitcoin and cryptocurrencies in general. The Tesla boss changed his Twitter profile to “Bitcoin” nearly 2-3 times in the last few months. However, Musk stated that Tesla’s decision to buy Bitcoins was not his alone but rather a collective decision of the entire board.

Well, the latest announcement from Musk has helped Bitcoin once again and pulled its back from going south. Before Musk’s tweet today, BTC was under pressure ready to take a dip under $54,000 levels.

However, soon after Musks tweet, the Bitcoin (BTC) price once again shot up 5% moving closer to $57,000 levels. At press time, Bitcoin (BTC) is trading at a price of $56,881 with a market cap of $1.06 trillion.

Over the last week, Bitcoin has been consolidating between the range of $53K-$61.5K. the good thing is that despite the recent volatility, the BTC valuations have never dropped below $1 trillion.