Tesla if one of those bleeding edge, forward-thinking #disruptor companies — the kind of company that would have kombucha on tap if it cared about its employees. As such, it’s deeply interested in cryptocurrency as the future — and deeply invested to match. So invested, in fact, that the company was able to lose $US140 (around $AU198) million on Bitcoin alone in 2022.
In 2021, Tesla invested $US1.5 (around $AU2.15) billion in Bitcoin and actually scored some modest returns on that money in 2022. An SEC filing from the company revealed gains of $US64 (around $AU90 at current conversion) million from its various Bitcoin trades last year, which comes out to a whopping 4.3% return. Of course, those gains are overshadowed by the company’s losses: $US204 ($283) million.
Those gains and losses total out to a net negative of $US140 ($AU198) million, nearly 10 per cent of the company’s initial investment. Incredibly, that number actually outperforms the traditional stock market — $SPY, an ETF tied to the S&P 500, dropped over 18% during that same period. Of course, considering the environmental effects of cryptocurrency, it’s tough to say those mitigated losses are worth it.
Oddly, Tesla’s SEC filing makes no mention of any other cryptocurrency holdings. CEO Elon Musk confirmed that the company had holdings in Dogecoin during 2022, but only the Bitcoin holdings appear in the legal paperwork. Considering Dogecoin is the only digital currency Tesla currently claims to accept, one would think it’d be important enough to mention to regulators. But, perhaps there’s more to come on that front — you never know when investigators will dig something up.