Tesla Buys $1.5B in bitcoin Takes It for Payment
February 8, 2021
In January 2021, Tesla updated their investment policy to provide a more flexibility to further diversify and maximize returns on their cash that is not required to maintain adequate operating liquidity. As part of the policy, which was duly approved by the Audit Committee of our Board of Directors, Tesla may invest a portion of such cash in certain alternative reserve assets including digital assets, gold bullion, gold exchange-traded funds and other assets as specified in the future.
Thereafter, Tesla invested an aggregate $1.50 billion in bitcoin under this policy and may acquire and hold digital assets from time to time or long-term. Moreover, they expect to begin accepting bitcoin as a form of payment for their products in the near future, subject to applicable laws and initially on a limited basis, which we may or may not liquidate upon receipt.