Revealed: How Much Profit Tesla Has Made After Buying Bitcoin
Crypto News

Revealed: How Much Profit Tesla Has Made After Buying Bitcoin

Estimates have suggested that Tesla bought its $1.5 billion BTC stash at an average price of $34,200 a coin.

Revealed: How Much Profit Tesla Has Made After Buying Bitcoin

Table of Contents

Tesla has made more profit from Bitcoin investments in a month than it will from electric cars for the whole of 2020, according to analysts.

Wedbush’s calculations suggest that Tesla has pocketed a cool $1 billion from its $1.5 billion buy in so far, adding:

“While the Bitcoin investment is a sideshow for Tesla, it’s clearly been a good initial investment and a trend we expect could have a ripple impact for other public companies over the next 12 to 18 months.”

Tesla’s Bitcoin Profits: Doing the Math 

Previously, estimates from Yahoo! Finance had suggested that Tesla had bought its stash of Bitcoin for an average price of $34,200. That would suggest it is currently holding about 43,859 BTC in reserve.

When Bitcoin’s price hit its high point of $58,330.57 over the weekend, the collective value of Tesla’s BTC would have ballooned to $2.56 billion — meaning Wedbush’s numbers add up.

Of course, we don’t know exactly how much Bitcoin that Tesla actually does own — and that’s because the company hasn’t disclosed the exact date it purchased the crypto on.

But it’s likely that Tesla’s purchases began in early January. A post written on Jan. 2 by a Reddit user claiming to be an insider at the company said:

“I am a software dev working at R&D at Tesla in California, over the past 72 hours our company bought 24701 BTC at an average price of $33,142.”

At the time, this post was met with skepticism and derision from other users.

Elon Musk: BTC and ETH ‘Seem High’ 

Musk raised eyebrows over the weekend when he said that “BTC & ETH do seem high” — with Bitcoin racing its way to $58,000 and Ether breaking $2,000.

This could have contributed to a downturn in crypto prices.

Binance CEO Changpeng Zhao tweeted back, writing: “Lol, you said this about TESLA stock, before it went through the roof.”

Subscribe To Our Newsletter! 

Don’t forget that you can find all the day’s top stories in the CoinMarketCap newsletter. Sign up here!
10 people liked this article