Elon Musk, CEO of Tesla, said that if he gets the confirmation that miners have started using clean energy in a reasonable proportion, around 50%, his electric car company will resume accepting bitcoin.
When will Tesla Resume Bitcoin Payments?
The CEO of SpaceX and Tesla wrote on Sunday that when Bitcoin miners are using 50% clean energy for Bitcoin transactions and mining processes, his company will start accepting bitcoin again.
Tesla and Elon Musk are in the headlines again, associated with bitcoin. In March, Tesla announced that the company would be accepting bitcoin as a source of payment for its electric cars. The company also revealed that cryptocurrency payments wouldn’t be converted to liquid cash. As a result, the US Security and Exchange Commission announced that Tesla had invested $1.5 billion in Bitcoin. With this announcement of Tesla, the value of Bitcoin went skyrocketing. In the time period when Tesla was accepting Bitcoin, the cryptocurrency reached the highest value of around $64000 per token.
However, In May, Tesla stopped taking bitcoin payments. The reason behind sudden backing off from Bitcoin was stated as environmental issues. It was revealed that bitcoin mining consumes a large amount of energy which is not suitable for the environment. This affected the value of bitcoin, as the currency dropped down to $34000 per token. But, Elon Musk revealed later that he and his company Tesla are still holding on to their bitcoin assets. This statement again drove bitcoin towards stability. However, Elon Musk announced that the company sold 10% of its bitcoins at the beginning of this year to prove the liquidity of the cryptocurrency.
Tesla would be accepting bitcoin payments again if there is a confirmation of 50% usage of clean energy
Now that Elon Musk revealed that Tesla would be accepting bitcoin payments again if there is a confirmation of 50% usage of clean energy. Like before, analysts are speculating that this will again spike the value of Bitcoin. Musk has associated himself with other cryptocurrencies too. For instance, he once Tweeted if his electric car company should accept Dogecoin or not? (78.2% of people voted in favour of it). Moreover, Dogecoin developers revealed that Elon Musk is linked with them to make the cryptocurrency better.
Musk’s Sunday tweet was because of charges referred to in a Cointelegraph article. Sygnia CEO Magda Wierzycka claimed that the Tesla techno king had controlled the bitcoin market, and the SEC ought to investigate him. The South African billionaire accepts that Musk purposely siphoned bitcoin with the declaration that Tesla planned to acknowledge BTC and afterwards “sold a major piece of his openness at the pinnacle.”
The infamous hacktivist group also accused Elon Musk of manipulating the bitcoin market. Many people have questioned the volatility of bitcoin and other cryptocurrencies. However, for bitcoin investors, it is good news that a big company like Tesla will be linked with bitcoin again, which will help the current market situation of the cryptocurrency.
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Luke Handt is a seasoned cryptocurrency investor and advisor with over 7 years of experience in the blockchain and digital asset space. His passion for crypto began while studying computer science and economics at Stanford University in the early 2010s.
Since 2016, Luke has been an active cryptocurrency trader, strategically investing in major coins as well as up-and-coming altcoins. He is knowledgeable about advanced crypto trading strategies, market analysis, and the nuances of blockchain protocols.
In addition to managing his own crypto portfolio, Luke shares his expertise with others as a crypto writer and analyst for leading finance publications. He enjoys educating retail traders about digital assets and is a sought-after voice at fintech conferences worldwide.
When he's not glued to price charts or researching promising new projects, Luke enjoys surfing, travel, and fine wine. He currently resides in Newport Beach, California where he continues to follow crypto markets closely and connect with other industry leaders.