According to a regulatory filing most likely begin accepting bitcoin payment Tesla in the future.
According to a document filed in connection with the company’s earnings report this week, Tesla disclosed a $1.5 billion position in Bitcoin and said that it may explore taking cryptocurrencies as payment.
Tesla may resume taking cryptocurrency payments, according to its third quarterly report filed with the US Securities and Exchange Commission (SEC).
The electric vehicle manufacturer said that it spent $1.5 billion on Bitcoin in the nine months ending September 30.
In May, Tesla suspended bitcoin transactions due to environmental concerns.
What is bitcoin?
Bitcoin is a digital currency that operates independently of any central authority or monitoring by banks or governments. It is instead based on peer-to-peer software and encryption.
All bitcoin transactions are recorded in a public ledger, and copies are kept on servers throughout the world. Anyone with a spare computer may set up one of these servers, referred to as a node. Instead than depending on a central source of trust, like as a bank, consensus on who owns which coins is achieved cryptographically among these nodes.
Elon Musk then said that the business would restart Bitcoin transactions after it has confirmed that miners are using appropriate amounts of renewable energy.
“When there is confirmation of moderate (50%) clean energy consumption by miners with a favourable future trend,” Musk said, “Tesla will restart permitting Bitcoin transactions.”
Tesla’s market worth surpassed $1 trillion for the first time earlier this week.
It is the sixth firm in the United States to reach the $1 trillion mark, behind Apple, Microsoft, Amazon, and Alphabet.
The rally came after Hertz, a US-based rental car firm, said that it had purchased 100,000 Tesla cars (worth at least $4.2 billion) for delivery by the end of 2022 as part of an ambitious strategy to electrify its fleet.
The company’s worldwide operations will benefit from expanded EV charging infrastructure.
Bitcoin’s price has dropped 3.88 percent in the previous 24 hours, slipping below the $60,000 mark.
Can bitcoin be converted to cash?
Bitcoin, like any other asset, may be exchanged for cash. There are various cryptocurrency exchanges where this may be done online, but transactions can also be done in person or via any communication network, enabling even tiny enterprises to accept bitcoin. There is no formal method in place to convert bitcoin to another currency.
The bitcoin network is supported by nothing inherently valuable. However, since exiting the gold standard, several of the world’s most stable national currencies, such as the US dollar and the British pound, have become more stable.
Who is Elon Musk
Elon Musk is South African-born American industrial engineer and entrepreneur who co-founded Paypal as well as SpaceX, an aerospace transportation company. He was also an early investor in Tesla, an electric automobile business, and is currently the company’s Chief Executive Officer. Musk is seventh among the world’s top ten billionaires, Elon Musk ‘s net worth is approaching $300 billion