According to Tesla's Q3 earnings report, the company did not sell any of its Bitcoin holdings in the last three months. As of September 30th, Tesla held around 9,720 BTC worth approximately $275.6 million. The report did not mention any conversion of BTC to fiat currency, indicating that the company did not make any proactive selloff move. Tesla first invested $1.5 billion in Bitcoin in early 2021 and bought 43,000 units at an estimated average price of around $34,000. After selling a portion of its holdings in Q2 2022, Tesla has since maintained its Bitcoin HODLing agenda.
The crypto market experienced a sharp decline after rumors circulated that Tesla had sold its $377 million Bitcoin position. Additionally, the Federal Open Market Committee's minutes indicated that interest rates would continue to rise to combat inflation, which further negatively impacted the market.
Tesla's CFO Zach Kirkhorn has resigned, effective Aug. 4, and will be replaced by Vaibhav Taneja, who will also continue in his role as chief accounting officer. Kirkhorn will remain with the company until the end of the year to ensure a smooth transition. The announcement of Kirkhorn's departure caused Tesla's shares to drop by 2.5%. Kirkhorn had been with Tesla for 13 years and served as CFO for four years, and in his statement, he expressed gratitude towards the company's employees and recognized Elon Musk's leadership role.
Elon Musk, the CEO of Tesla, has been known for his support of Dogecoin, a meme cryptocurrency, and its impact on its value. During his appearance at the Wall Street Journal CEO Council Summit in Q2 2023, Musk explained that his love for Dogecoin goes beyond its capabilities in the crypto market and is more related to its humorous nature.
Dogecoin experienced a significant price increase of over 10% on July 21, reaching $0.076 and adding $1 billion to its market cap. This surge propelled DOGE to become the sixth-best performing cryptocurrency on daily charts and the eighth largest asset by market worth. While the reason for this rally is unclear, some speculate that it may be related to rumors about Dogecoin's presence in the payment page source code on Tesla's website. However, it has been confirmed that Tesla did not recently add Dogecoin to its source code, but rather it was already present since January 2023.
Tesla has reportedly removed Bitcoin from the source code of its payment page, while Dogecoin remains as a payment option. This comes as a surprise to the crypto community, as Tesla's CEO Elon Musk has been a big supporter of Dogecoin. However, Tesla has not made an official announcement regarding this move. Despite this, Tesla's Bitcoin holdings remain unchanged in Q2 2023.
Elon Musk, the CEO of Tesla and Twitter, recently praised The All-In Podcast for their discussion on Ripple's recent victory over the SEC. Musk tweeted "Good podcast" in response to the episode, which also brought hope to the crypto community that the SEC's power over US crypto companies and tokens may be limited. Despite his interest in crypto, Musk has never mentioned XRP or the Ripple-SEC case in his tweets, and his main focus in the crypto space is on Dogecoin. Tesla still holds $184 million worth of Bitcoin on its balance sheet as of Q2 2023.
Tesla Reports Record Revenues and Healthy Margins in Q2 FY23 Earnings Report, Continues to HODL Bitcoin Holdings
Tesla's Q2 FY23 earnings report has shown impressive results despite the current state of the economy. The company achieved record production and delivery numbers, as well as generating the highest revenue of any quarter to date, with $24.9 billion.
Tesla's digital asset holdings remained at $184 million on its balance sheet in the second quarter, despite the rise in bitcoin's price during the same period. This is due to accounting rules that do not allow for unrealized gains on crypto to be recorded.
Dogecoin, a popular cryptocurrency with a dog theme, experienced a 4% surge in price within minutes after Elon Musk mentioned it in a tweet. The price of DOGE reached a high of $0.72 from $0.69 on Wednesday morning, but then dropped slightly to just under $0.70.