Elon Musk’s love for cryptocurrencies seems to be waning. After keeping mum on his favorite Dogecoin for a long time, Musk has shocked the crypto world again.
Elon-owned Tesla Inc. has sold 3/4th of its Bitcoin holdings in one go. In the process, it added around $963 million in fiat currency to its balance sheet.
Last year, Tesla announced that it had bought $1.5 billion worth of Bitcoin. Out of the total Bitcoin reserves, it sold a 10 percent stake in April.
Elon Musk confirmed the sale of 75% of Bitcoin Holdings through a conference call. The world’s richest man said that Bitcoin was sold due to Covid uncertainty.
Elon clarified that the sale of Bitcoin is not Tesla’s ‘verdict on Bitcoin’. But despite his clarification, the apex cryptocurrency fell by 6% and plunged to $22,700 from $24,200.
As Elon Musk has remained a strong supporter of crypto for a very long time, the sale of Bitcoin can have a long-term impact on the future of cryptocurrencies.
But it is also likely that Elon does not particularly like Bitcoin, which impacts the environment negatively due to mining activities.
On the other hand, his love for DOGE is still strong. Elon Musk’s Tesla confirmed that they haven’t sold Dogecoin and will continue to accept DOGE payments for select merchandise.