Tesla, the renowned electric vehicle manufacturer, has recently shifted its entire Bitcoin holdings, valued at over $765 million, to several untraceable wallets. This significant move involved Tesla transferring approximately 11,500 Bitcoins on October 15th through 26 separate transactions, which included initial test transfers, as reported by Arkham Intelligence.
The activity started with a test transfer at 8:41 PM UTC on October 15th, leaving the originating wallet with a mere $6.68 worth of Bitcoin. This marked the end of a period of inactivity for Tesla’s Bitcoin wallet, which had not seen any transactions since June 17, 2022.
Interestingly, there has been no indication that the Bitcoins were moved to cryptocurrency exchanges, nor has Tesla made any announcements regarding plans to sell off its cryptocurrency holdings. This raises questions about whether Tesla still retains control over the transferred Bitcoins.
Current Status of Tesla’s Bitcoin Holdings
Prior to these transactions, Tesla was the fourth-largest Bitcoin holder among publicly-traded companies. It trailed behind MicroStrategy, the leader, and Bitcoin mining companies Marathon Digital and Riot Platforms. This ranking is according to data provided by Bitcoin Treasuries.
Tesla’s history with Bitcoin includes an initial purchase worth $1.5 billion in February 2021. Subsequently, the company sold 4,320 BTC in March 2021 and another 29,160 BTC in 2022. Despite these sales, and a brief period in March 2021 when Bitcoin was accepted as payment for Tesla’s vehicles—a decision later reversed by CEO Elon Musk—Tesla has maintained a significant investment in Bitcoin.
SpaceX’s Bitcoin Investments
In addition to Tesla, Elon Musk’s SpaceX also holds a substantial amount of Bitcoin—8,285 BTC to be exact, which is currently valued at over $553 million. This makes SpaceX the seventh-largest holder of Bitcoin among private firms.
Further insights into Tesla’s Bitcoin strategy, including whether any of the recent transfers involved sales, might be revealed when the company releases its third-quarter financial results on October 23rd, after the market closes.
It is noteworthy that Tesla’s substantial Bitcoin transfers did not affect the cryptocurrency’s market price. Bitcoin was trading at $66,790, showing a 1% increase over the last 24 hours, according to data from CoinGecko.
| Company | Bitcoins Held | Current Value (USD) |
|---|---|---|
| MicroStrategy | 129,218 | $8.6 billion |
| Marathon Digital | 19,395 | $1.3 billion |
| Riot Platforms | 16,146 | $1.08 billion |
| Tesla | 11,500 | $767 million |
| SpaceX | 8,285 | $553 million |
Tesla’s recent Bitcoin transactions represent a significant shift in the management of its digital asset portfolio. The reasons behind these moves remain speculative until more information is disclosed. Investors and the cryptocurrency community will be closely watching Tesla’s upcoming financial disclosures for potential impacts on the market and insights into Tesla’s future cryptocurrency strategies.
Featured image credit: Ivan Radic via Flickr
Follow us for more breaking news on DMR