Speaking at the virtual B-word event on Wednesday, July 21, Elon Musk revealed that aerospace manufacturer SpaceX has invested its cash reserves in Bitcoin, following Tesla’s purchase of Bitcoin earlier this year.
The free virtual B-word event was hosted by Jack Dorsey, who invited Elon Musk to speak at the conference. While speaking at the event alongside Dorsey, Musk revealed that he personally owns a large amount of Bitcoin and a lesser amount of Ethereum:
“The only thing that matters beyond Tesla and SpaceX stocks is Bitcoin, and then some Ethereum and Dogecoin; If the price of bitcoin goes down, I lose money. I could pump, but I don’t unload… I would like Bitcoin to be successful. “
Musk also added that Tesla could soon begin accepting Bitcoin payments once the company has conducted its due diligence to assess the cryptocurrency’s actual impact on climate change. “There appears to be a positive trend in bitcoin energy use,” he stated.
Meanwhile, Musk mentioned that Tesla will resume accepting Bitcoin payments when renewable energy is “at 50% or more and there is a trend to increase that number.”
Despite the recent price drop, he clarified that he has no intention of selling Bitcoin personally or through Tesla and SpaceX. Additionally, Musk hinted that negative interest rates in Europe could force Tesla to invest more of its balance in Bitcoin.
Musk also asked Dorsey if he would start accepting Bitcoin payments from advertisers on Twitter. “Let’s do it,” Dorsey responded positively.
Bitcoin extends the rally
Elon Musk, founder and CEO of Tesla and SpaceX, is one of the strongest voices in the world of cryptocurrencies. He frequently uses his Twitter account to post about various crypto tokens and often causes sudden changes in their values.
Tesla once accepted Bitcoin as a payment method in February when the company bought $ 1.5 billion worth of Bitcoin.
However, in May, Musk caused unrest in the cryptocurrency sector by announcing that Tesla would stop accepting bitcoin payments due to the large amount of energy used to mine crypto and cause its value to fall.
Since then, China has also cracked down on cryptocurrency mining and trading, eventually driving cryptocurrency miners out of the country. New data from the University of Cambridge indicates that a number of miners are now migrating to the US, which is now the second largest hub for crypto miners in the world.
Musk’s comments show that he still wields significant power over the crypto markets. The price of Bitcoin plunged below $ 30,000 on Monday, July 19, after climbing to an all-time high of more than $ 63,000 in April. But yesterday, after the billionaire investor revealed more details about Tesla’s plan to reopen the acceptance of Bitcoin payments, the price of the flagship cryptocurrency rebounded by 8%, trading at $ 32,018 during the intraday.
Image Source: Shutterstock