Tesla signals potential return to Bitcoin payments

Tesla signals potential return to Bitcoin payments

By - min read

Electric car maker Tesla is likely to start accepting Bitcoin for its cars, details filed with the US Securities and Exchanges Commission (SEC) show.

Tesla hinted at the possibility of accepting cryptocurrency payments in financial details related to its initial purchase of Bitcoin, which were added in the company's 10-Q filing with the US regulator.

The company said that its $1.5 billion Bitcoin purchase was made "during the nine months ended September 30, 2021." The period also saw the firm accept Bitcoin as payment for some of its products for three months, up to 31 March 2021.

However, although the transactions were completed as per applicable laws, Tesla notes it suspended the practice (accepting BTC) in May.

The company now sees the possibility of allowing customers to pay with Bitcoin or other digital assets in the future, according to a document published on Monday, 25 October, 2021.

"We may in the future restart the practice of transacting in cryptocurrencies for our products and services," Tesla said in the report.

Tesla's SEC filing also acknowledged the company's view on digital assets, which the carmaker says could provide for long-term investment as well as serve as an alternative to cash.

Bitcoin's mining issues

In May, Tesla CEO Elon Musk said the company would stop accepting Bitcoin for its vehicles, citing the cryptocurrency's heavy reliance on fossil fuels for mining as an environmental issue that needed addressing.

While Bitcoin enthusiasts and aficionados were quick to blast the tech billionaire for what many said was reckless comments and misunderstanding of Bitcoin mining, he promised to see Tesla resume accepting BTC if fossil fuel use dropped by as much as 50%.

Bitcoin has increasingly become green given the exodus of minus from China and relocation to countries and locations with massive reserves of renewable energy.

Elsewhere, the price of Bitcoin has climbed above $63k once again after plunging from its all-time high of $67,278 reached on 20 October.