Tesla’s latest balance sheet shows the company’s Bitcoin holdings worth $184 million. Tesla has not sold any digital assets in the fourth quarter of 2022, despite the crypto winter and the contagion of the crypto ecosystem.
Tesla’s digital assets are valued at $184 million
Tesla Inc (Nasdaq: TSLA) announced its fourth quarter 2022 financial results on Wednesday. The company’s balance sheet showed net digital assets of $184 million, down from $218 million in the previous quarter. According to the company’s other financial statements, no digital assets were traded in the fourth quarter.
The electric car company’s digital assets consist mostly of bitcoin. The value of its crypto holdings has decreased due to the price volatility ofBTCand led to an impairment charge of $34 million. At the time of this writing, bitcoin was trading at $23,087, falling from about $47.8K to about $16.6K during 2022.
Tesla has not disclosed how many bitcoins it holds, but industry estimatessuggest it holds about 9,720bitcoinsand holds BTC. In addition to Bitcoin, Tesla also holds a small amount of dogecoin (DOGE), which it obtained from the sale of meme cryptocurrency products. The company began accepting dogecoin payments for some of its products last January.
Tesla purchased $1.5 billion worth ofBTCin early 2021 and has not purchased any since. However, the company has dumped about 75% of itsholdings. In the second quarter of last year, the company disposed of its BTCholdings. At one point, CEO Elon Musk explained that Tesla sold itsBTCto maximize its cash position due to uncertainty over “when the Covid lockdown in China will be relaxed.” He emphasized that “we are not going to be able to do that.” We are certainly open to increasing our bitcoin holdings (in the future), so this should not be taken as some kind of verdict against bitcoin.” He also noted that the company has not sold DOGE.
Mr. Musk himself personally owns Bitcoin, Ether, and Dogecoin. He tweeted last March that he still owns these three cryptocurrencies and has no intention of selling them.” I still own & won’t sell my bitcoin, ethereum or doge,” the billionaire wrote.
In Tesla’s earnings call with analysts Wednesday afternoon, Musk reiterated. I hope not, but perhaps “. While cautioning that “you can’t predict the value of a stock in the short term,” the Tesla boss emphasized.
But in the long run, I am sure, Tesla will be the most valuable company on the planet.
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