Tesla’s recent filing with the Securities and Exchange Commission reveals that the multi-billion dollar company still believes in Bitcoin and other digital assets. The company’s quarterly report was released in April, and Tesla still holds billions of dollars worth of crypto assets.
The company first announced its plans to invest in cryptocurrencies early last year. In 2021, Tesla purchased crypto assets worth $1.5 billion. As of March 31st, 2022, when the company’s quarterly reports were released, the fair value of the cumulative digital assets purchased by Tesla was worth $1.96 billion.
In its filings with the SEC, the company also revealed that a relatively small portion of its digital holdings was sold between March 2021 and December 2021. The leading tech company realized gains worth hundreds of millions from the partial sales of its crypto holdings.
In the quarterly report, the spokesperson of Tesla said, “It is the goal of Tesla to keep adapting its investments strategy to meet its liquidity and risks objectives. We believe in the long-term potential of digital assets both as an investment and as a liquid alternative to cash.”
Tesla may increase the number of digital assets it is holding at a particular time, depending on the needs of the company and its perspective on environmental conditions.
While the company strongly believes in crypto assets, it is focused on its goal of creating environmentally-friendly automobiles for its customer base.
At the end of the first quarter of 2022, Tesla made a gross profit of $5.4 billion which is more than twice its proceeds of Q1 of 2021.
Tesla’s business success has been attributed to its CEO, Elon Musk, popularly called the TechnoKing of Tesla. Elon was acknowledged in Tesla’s quarterly report and was praised for being highly active in the company’s management.
Last year, Elon Musk opened Bitcoin payments for Tesla vehicles before eventually closing the option due to concerns about the environmental impact of Bitcoin mining.
