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After Tesla Dumped 75% of Bitcoin Holdings it Still Holds Over $200 Million in Bitcoin – Latest Filing Reports

Tesla revealed that it still holds bitcoin worth $222million in market value, after having sold 75% of its crypto holdings. On its recent bitcoin conversion...
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Tesla revealed that it still holds bitcoin worth $222million in market value, after having sold 75% of its crypto holdings. On its recent bitcoin conversion to fiat currency, the company realized $64 million in gains.

Tesla Inc. filed its second quarter report Monday with the U.S Securities and Exchange Commission.

According to Bitcoin.com News, the company stated that it had converted 75% (or about 75%) of its bitcoin holdings to fiat currency. The BTC transaction added $936million to the balance sheet of the electric car company.

Tesla told the SEC that the second quarter was:

We suffered impairment losses of $170 million due to changes in the carrying value of bitcoins and gains of $64 millions on certain bitcoin-to-fiat conversions by us.

In Q1 2021, Tesla purchased bitcoin worth $1.5 billion. The company also sold BTC in the same quarter for $272 million. In Q1 2021, bitcoin prices fluctuated between $32K and $59K levels.

In a SEC filing, the electric car company claimed that it made $128 million in gains from converting its Bitcoin to fiat currency in Q1 20201. The company also had impairment losses of $23 million to bitcoin in Q2 2021 (and $50 million in 1H 2021), respectively.

Tesla’s Digital Assets Most Consist Of Bitcoin
Tesla stated in its Monday filing to the SEC that it had purchased bitcoin for $1.5 billion in Q1 2020. It also received “an immaterial quantity” of digital assets in the first half this year.

Although Tesla didn’t name any other crypto assets, the company has accepted the meme cryptocurrency dogecoin (DOGE), for some merchandise since January.

According to its balance sheet, the carrying value of Tesla’s digital assets was $218 millions at the end of the second-quarter. The company’s electric car division elaborated:

As of June 30, 2022, the fair market value for such digital assets was $222 million.

After falling to $18,784, the BTC price hovered around $20K on June 30. Based on data from Bitcoin.com markets, BTC trades at $21,869 as of the time of writing.

Elon Musk, Tesla CEO, stated during last week’s Q2 earnings conference that most of the company’s BTC was sold due to concerns about overall liquidity, given Covid shutdowns. Musk added: “We are certainly open for increasing our bitcoin holdings, so this shouldn’t be taken as a verdict on bitcoin.”

Elena Argyros

Elena Argyros

Elena is cryptocurrency writer / journalist based in Europe. She has extensive knowledge in the crypto space and is a solidity programmer by trade. Elena has built an extensive resume working with some of the most ground breaking blockchain firms. Being in Europe, Elena has amassed a large network of professionals in the space and states "The technology behind blockchain is going to impact everyone on earth in a good way, once you get to understand it".
Elena Argyros

Elena Argyros

Elena is cryptocurrency writer / journalist based in Europe. She has extensive knowledge in the crypto space and is a solidity programmer by trade. Elena has built an extensive resume working with some of the most ground breaking blockchain firms. Being in Europe, Elena has amassed a large network of professionals in the space and states "The technology behind blockchain is going to impact everyone on earth in a good way, once you get to understand it".

© 2022 The Daily Encrypt. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

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