Tesla, the leading electric vehicle manufacturer, has relocated its entire Bitcoin (BTC) holdings, amounting to roughly $765 million, to several anonymous wallets, prompting speculation about the company’s crypto strategy.
Data from Arkham Intelligence reveals that 11,500 Bitcoin were transferred across 26 separate transactions to multiple new addresses. Despite the significant movement, these funds have not shown any connection to crypto exchanges, suggesting that Tesla may not be liquidating its Bitcoin at this stage.
This action marks the first activity in Tesla’s Bitcoin wallet since June 2022. Before these transactions, the wallet had remained inactive, leading many in the industry to wonder about the firm’s future intentions regarding Bitcoin.
Tesla originally entered the Bitcoin market in February 2021, acquiring $1.5 billion worth of the cryptocurrency. Subsequently, the company divested part of its holdings, selling 4,320 BTC in early 2021 and another 29,160 BTC in 2022.
Elon Musk, the CEO, briefly permitted Bitcoin as a payment method for Tesla vehicles in 2021, although he quickly reversed this decision due to concerns about environmental impact. He later indicated on social media that the company would consider accepting BTC payments again once 55% of the network’s energy came from renewable sources.
The recent transfers have reignited speculation, but Tesla has not publicly commented on this movement. Meanwhile, Musk’s other company, SpaceX, retains 8,285 BTC, valued at over $553 million, positioning it among the largest private Bitcoin holders.
Additional clarity on Tesla’s Bitcoin strategy may be provided in the company’s third-quarter financial report, which is anticipated on October 23.
The market reaction to Tesla’s recent Bitcoin transactions has been minimal, with Bitcoin continuing to show bullish tendencies amid ongoing market optimism for rising prices.
At the time of writing, Bitcoin was trading at $67,270, reflecting a 2.2% increase over the past 24 hours, according to CryptoSlate data.
