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Tesla’s bitcoin investment brings more profit than car sales

Tesla’s bitcoin investment brings more profit than car sales

According to the data from BitcoinTreasuries.org, Tesla’s $1.5 billion investment in bitcoin brought the company more profit than its car sales last year. However, Elon Musk has not announced the profit yet as he thinks that the cryptocurrency is overpriced. The internet portal shows that in January 2021 Tesla bought $1.5 billion worth of bitcoin. By the end of February, the bitcoin holdings of the carmaker have reached the value of $2.58 billion, thus generating a profit of $1,08 billion in the past month alone. Notably, this amount far exceeds the $721 million revenue from electric vehicle sales for the entire year of 2020. Funny enough, the bitcoin investment turned out to be more profitable for the company than its major business. Tesla’s management has not yet calculated the profit from digital assets. The company notes that bitcoin is considered an indefinite-lived intangible asset that falls under applicable accounting rules. Earlier, Elon Musk, the founder of Tesla, admitted that the investment in bitcoin entails certain risks. Later the billionaire explained that cryptocurrencies, just like fiat money, are used as a means of barter. He also added that BTC seemed slightly overvalued. 


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