With u/TSLAInsider’s claim in January that Tesla bought $800mn worth of Bitcoin and Elon Musk’s recent tweets, let’s be honest, we saw this coming.
Tesla’s filing on Monday stated that the company has bought $1.5bn of Bitcoin.
Let’s (try to) analyze this rationally. Before purchasing $1.5bn worth of Bitcoin, Tesla had $20bn cash-on-hand — Elon Musk’s brainchild went from being on the verge of bankruptcy in 2018 to being the most valuable car company ($800bn market cap) in the world after its wild stock run.
With the purchasing of USD expected to decline in the next few years, splashing 7.5% of it on Bitcoin absolutely makes sense for Tesla as it will give them “more flexibility to further diversify and maximize returns on [their] cash.”
Tesla’s latest move has definitely caught the eyes of many and has, in a way, acted as a marketing tool. Instead of spending $2.95bn on marketing, Tesla made a clever move by purchasing Bitcoin instead.
Tesla’s primary motive remains unknown but this isn’t a d–ck move by any means — contrary to what 55-year-old Tesla investors think. If nothing, this has acted as a great marketing tool and has made crypto-nerds aware of the fact Tesla exists.
If the company manages to exit its position on Bitcoin when it is at peak, this will undoubtedly go down in the history books as the greatest trade ever.