Tesla has made a significant and unexpected move in the cryptocurrency world by transferring nearly all of its Bitcoin holdings, valued at approximately $760 million, to several unknown wallets. This action marks the first major movement in Tesla’s Bitcoin portfolio since June 2022, raising speculation about the company’s next steps regarding its cryptocurrency strategy.
According to data from Arkham Intelligence, on October 15, Tesla executed 26 transactions, including smaller test transfers, to relocate its 11,500 Bitcoin to new wallets. The transferred amounts were substantial, with some transactions exceeding $100 million. In total, Tesla moved approximately $760 million.
TESLA JUST MOVED ANOTHER $260M BTC
— Arkham (@ArkhamIntel) October 15, 2024
TOTAL MOVED: $760M pic.twitter.com/ukAcHW1EZC
Tesla’s sudden Bitcoin activity has fueled widespread speculation. Some industry observers believe that Tesla might be preparing to sell its remaining Bitcoin, potentially to take advantage of the cryptocurrency’s recent price surge, which has brought it close to $67,000.
However, the fact that Tesla transferred its Bitcoin to undisclosed wallets that are not linked to crypto exchanges hints that the company might not be ready to sell just yet. Some suggest that the transfers could be a security measure, with Tesla spreading its holdings across multiple cold wallets to reduce the risk of hacking.
Tesla’s relationship with Bitcoin has been a roller-coaster ride since the company first entered the market in February 2021 with a $1.5 billion investment in the cryptocurrency. At the time, Bitcoin was trading between $29,000 and $40,000. Tesla has also briefly allowed customers to purchase vehicles using Bitcoin, though this option was quickly withdrawn due to concerns about Bitcoin’s environmental impact.
In 2022, Tesla sold off 75% of its Bitcoin holdings. At that time, Tesla’s remaining Bitcoin holdings were valued at around $770 million.
