Elon Musk Purchases 1.5 Billion in Bitcoin

By Sylvain Saurel

Let me be clear, Elon Musk did not spend $1 billion to buy Bitcoin.

On the other hand, Tesla, the company of which Elon Musk is CEO, has just opted for Bitcoin. Tesla used 10% of its cash reserves to buy Bitcoin. This represents a purchase of 1.5 billion dollars from BTC.

So Tesla is betting on Bitcoin just like MicroStrategy or Square for example. It is a wise choice that will be recognized as very smart in the months and years to come.

What is intriguing, however, is the timing of this purchase and in particular, the Elon Musk tweets sent in the weeks prior to this purchase by Tesla.

Elon Musk first criticized Bitcoin probably causing its price to drop. He then declared his flame a few weeks later. The SEC may see this as a (successful) attempt at price manipulation. The SEC may well demand accounts from Elon Musk and Tesla in the coming weeks.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s