Connect with us

Bitcoin

Elon Musk Confirms He Owns Bitcoin, Has Not Sold Any — Tesla Intends to Hold BTC Long Term, Sold Some to Prove Liquidity

Published

on

Tesla CEO Elon Musk has confirmed that he owns bitcoin and has not sold any of his holdings. His company Tesla, however, has sold some of its bitcoins, which Musk says it’s “essentially to prove liquidity of bitcoin.” Tesla’s Master of Coin says the company believes in the value of bitcoin and will keep holding the cryptocurrency long term as well as accumulating from car sales.

Tesla Sold 10% of Its Bitcoin Holdings, Made $272 Million

Elon Musk’s electric car company, Tesla, announced its first-quarter earnings results on Monday. Prior to the earnings call, bitcoiners were hoping to hear how many more bitcoins Tesla had purchased since its original investment of $1.5 billion early this year. However, Tesla revealed that it actually sold some BTC during the quarter.

Zachary Kirkhorn, Tesla’s chief financial officer whose title was changed to Master of Coin, said during the earnings call:

Advertisement

We also invested $1.5 billion in bitcoin during the quarter, then trimmed our position by 10%, which contributed to a small gain in our Q1 financials.

Tesla’s statement of cash flows (unaudited). Source: Tesla

Tesla’s unaudited statement of cash flows shows an entry for “Proceeds from sales of digital assets” that amounted to $272 million. Its balance sheet shows a net digital asset entry of $1.331 billion.

Tesla’s balance sheet (unaudited). Source: Tesla

Elon Musk Owns Bitcoin and Has Not Sold Any

The news of Tesla selling some of its bitcoins went viral on social media and many people on Twitter are upset with Elon Musk, the CEO whose title was changed to Technoking of Tesla.

Stock trader Dave Portnoy, who recently became a proud owner of one bitcoin, commented in a tweet: “So, am I understanding this correctly? Elon Musk buys bitcoin. Then he pumps it. It goes up. Then he dumps it and make a fortune.”

Musk replied: “No you do not.” He proceeded to reveal, “I have not sold any of my bitcoin,” confirming that “Tesla sold 10% of its holdings.” The Tesla technoking claims that the BTC sale was “essentially to prove liquidity of bitcoin as an alternative to holding cash on balance sheet.”

Tesla’s Bitcoin Strategy Going Forward

Kirkhorn explained during the earnings call: “Elon and I were looking for a place to store cash that wasn’t being immediately used, trying to get some level of return on this, but also preserve liquidity … Bitcoin seemed at the time and so far has proven to be a good decision.”

Advertisement

He continued, “Thinking about it from a corporate treasury perspective, we’ve been quite pleased with how much liquidity there is in the bitcoin market.” Kirkhorn elaborated: “Our ability to build our first position happened quickly. When we did the sale later in March, we also were able to execute that very quickly. And so as we think about kind of global liquidity for the business in risk management, being able to get cash in and out of the market is something that I think is exceptionally important for us.”

Tesla’s Master of Coin emphasized:

We do believe long term in the value of bitcoin. So it is our intent to hold what we have long term and continue to accumulate bitcoin from transactions from our customers as they purchase vehicles.

News Source

Advertisement

Bitcoin

The Cycle Started, Mike Novogratz Says – Bitcoin Boom Is Here; Jack Dorsey Boosts BTC’s Price

Published

on

Mike Novogratz is one of the essential names in the crypto space which is celebrating the booming price of Bitcoin.

Check out what he had to share with his followers and Twitter fans:

Advertisement

Someone hopped in the comments section and said this; ‘Anyone who has not yet embarked on the crypto band wagon is a simple minded idiot who knows nothing about markets, freedom or wealth creation.’

Jack Dorsey boosts the price of BTC

It’s been also revealed that Jack Dorse said that Square could build a BTC mining system – this obviously triggered a more massive price race for the king coin.

At the moment of writing this article, BTC is trading in the green and the king coin is priced at $61,118.15.

Advertisement

CNBC online publication just noted that Square CEO Jack Dorsey said late on Friday the company is considering jumping into BTC mining business.

Dorsey tweeted that the company is considering a “bitcoin mining system based on custom silicon and open source for individuals and businesses worldwide.”

Advertisement

Dorsey’s goal would be to make crypto mining more accessible. We suggest that you check out the complete thread that Dorsey shared on his social media account in order to learn all the available details.

News Source

Advertisement
Continue Reading

Bitcoin

Pantera Capital’s Dan Morehead: Bitcoin (BTC) Already Up 100% in This Bull Run

Published

on

How big is median increase in Bitcoin (BTC) price in bullish market phases?

As Bitcoin (BTC) reclaims $62,000 level, Dan Morehead, CEO of the first-ever cryptocurrency-focused VC firm in the U.S., shares the comprehensive statistics of the last six bull runs for Bitcoin.

Bitcoin (BTC) price doubled in 87 days: Bull Run 2021

According to the latest tweet by Mr. Morehead, the Bitcoin (BTC) price witnessed a 2x increase in the first 87 days of the ongoing bullish wave.

Advertisement

Unlike many other experts, Mr. Morehead identifies two separate “bull run” phases in 2020-2021. During the previous one, between March 16, 2020, and April 14, 2021, it took 394 days for Bitcoin (BTC) to increase its price 13x and print a new all-time high.

According to his infographic, the most impressive rally ended with a 106x increase of the orange coin’s price in 2015-2017.

Advertisement

That said, the median Bitcoin (BTC) price bull run lasted for 300 days and increased the “king coin’s price” by 15x.

Will Bitcoin ETF mark the top of the BTC cycle?

At the same time, according to “The Next Price Era” letter issued by Pantera Capital on Oct. 6, 2021, the hotly-anticipated approval of Bitcoin (BTC) ETFs is listed amidst the possible “sell the news” events.

Mr. Morehead noticed that the launch of CME Bitcoin Futures and Coinbase direct listing triggered painful bear markets:

Advertisement

Will someone please remind the day before the bitcoin ETF officially launches?  I might want to take some chips off the table.

As covered by U.Today previously, similar statements were made by CNBC’s Jim Cramer.

The seasoned analyst also revealed his plans to “cash out” 50% of his Ethereum (ETH) bags.

News Source

Advertisement
Continue Reading

Bitcoin

Bitcoin Will Significantly Underperform Altcoin Market As New Crypto Price Era Unfolds: Pantera Capital’s Dan Morehead

Published

on

The founder and chief executive officer of Pantera Capital says that investors can expect altcoins to outperform Bitcoin (BTC) in the long term.

In a recent edition of Pantera’s Blockchain Letter, the head of the digital asset management firm outlines Dan Morehead’s key quotes from the SALT 2021 conference in New York. During the conference, Morehead said that even though his company has greatly profited from BTC, he emphasized that most future crypto gains will come from altcoin investments.ADVERTISEMENT

“My perspective is: Bitcoin has been amazing – Pantera Bitcoin Fund is up 67,000% since inception. However, I think the majority of future gains will be from tokens outside of Bitcoin. I know that sounds heretical to some people here, but that’s my professional opinion.”

Advertisement

Morehead compares the rise of Bitcoin and its competitors to that of the tech industry boom during the late 1990s.

“It’s like saying in 1998 that [the] majority of future tech gains would come from outside Microsoft.

At the time, Microsoft was worth $218 billion, Apple $3.5 billion, Amazon was $2.2 billion. Google and Facebook were zero – they didn’t even exist. In the years since Microsoft did great – it went up 10x. However, 80% of the tech gains in these five stocks came from outside Microsoft.

Advertisement

That’s the view I have here – I think BTC is going to go up a ton – like 10x. It’s a great investment…[but] I think the broader portfolio is going to outperform.”

At time of writing, BTC has a market cap of $1.156 trillion while all altcoins combined have a market cap of $1.327 trillion, according to CoinMarketCap.

News Source

Advertisement
Continue Reading