Elon Musk, CEO of Tesla, will be on the construction site of the Tesla Gigafactory in Grünheide near Berlin on September 3, 2020.
Patrick Pleul | Image Alliance | Getty Images
According to a securities filing, Tesla is sitting on Bitcoin valued at around $ 2.5 billion, which gives the automaker a significant profit on paper just a few months after the investment.
The automaker announced that its investment in the volatile cryptocurrency was valued at $ 2.48 billion at the end of March. The company announced earlier this year that it had purchased $ 1.5 billion worth of Bitcoin and planned to accept it as payment for vehicles.
Tesla announced Monday that it posted $ 101 million in net income from the sale of Bitcoin for the quarter, which helped push net income to a record high in the first quarter. Tesla does not consider Bitcoin as a market value, meaning it only captures a profit advantage when it sells to secure profits.
Bitcoin traded near $ 59,000 on the last day of March, slightly above its price on Wednesday morning. The crypto asset has changed a lot in the past few weeks, trading well above $ 60,000 before falling sharply below $ 50,000.
Tesla’s shares fell 1.6% in premarket trading on Wednesday. The stock, which was among the best in the past few years, has fallen more than 15% in the past three months.
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