Tesla Just Bought $1.5 Billion Worth of Bitcoin. Is Apple Next?
Tesla announced in a public filing Monday that it bought $1.5 billion worth of Bitcoin as part of a corporate policy that allows the electric vehicle (EV) maker to invest in “alternative reserve assets,” including not just cryptocurrencies but also gold bullion and gold ETFs.
The company added that it intends to start accepting Bitcoin as a form of payment. No word on gold or other precious metals, though.
Tesla’s move into Bitcoin makes a perfect kind of sense. CEO Elon Musk, briefly the world’s wealthiest person before falling back to number two, has long been a fan of the crypto, which, like his company, represents a potential seismic shift in how we conduct our personal finances and power our transportation.
Both Tesla and Bitcoin had a killer 2020. Shares of the carmaker rose 743%, making it the year’s best S&P 500 stock. Bitcoin, meanwhile, increased more than 300%, fueled by institutional investor demand. As I write this Tuesday morning, its price has blasted past $48,000.
Tesla wasn’t the only major crypto news on Monday. The Chicago Mercantile Exchange (CME) launched its long-awaited futures contracts for Ether, the native digital currency of the Ethereum network. The move comes a little more than three years after it unveiled Bitcoin futures. Today, the second largest coin after Bitcoin soared past $1,800 for the first time ever.