Tesla Moves Entire $765M Bitcoin Stash to Unknown Wallets

Jimmy Aki
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On October 15, electric vehicle giant Tesla moved all its Bitcoin holdings, valued at over $765 million, to unidentified wallets. The transfers have raised questions about the company’s plans for its cryptocurrency reserves as it has not disclosed the reason for the massive movement.

Unexplained Transfer of 11,500 Bitcoin

According to Arkham Intelligence data, Tesla initiated the transfer of 11,500 Bitcoin from its previously dormant wallet. These transfers occurred across 26 separate transactions, including some initial test transactions. The first test occurred at 8:41 pm UTC, and the wallet was subsequently emptied, leaving a balance of just $6.68 worth of Bitcoin.

Tesla’s Bitcoin stash, which was initially worth $1.5 billion when first purchased in February 2021, had remained untouched since June 2022.

Before this latest movement, the company had sold part of its holdings in two separate events. Tesla sold 4,320 BTC in March 2021 and 29,160 BTC in 2022.

Despite these sales, Tesla remains one of the publicly traded companies with the largest Bitcoin holdings, with 9,720 BTC, trailing behind MicroStrategy, Marathon Digital, and Riot Platforms.

Whether Tesla controls Bitcoin after these transfers or if the company has sold off its remaining holdings remains unclear.

Reports indicate that the 11,500 Bitcoin were not moved to any known cryptocurrency exchange, suggesting the company may not be selling its Bitcoin just yet. Tesla has not provided any official statements regarding the transfers or their intentions for their cryptocurrency.

Impact on Tesla and Bitcoin Markets

The mass transfer of Tesla’s Bitcoin did not appear to significantly affect the price of Bitcoin.

At press time, Bitcoin trades at $67,190, representing a slight 1% increase over the past 24 hours. This suggests that the market may have already accounted for the potential sale or transfer of large Bitcoin holdings by major players like Tesla.

When Tesla first purchased Bitcoin in 2021, it sent waves through the financial and crypto markets. The $1.5 billion purchase was part of a broader trend of institutional adoption of cryptocurrencies.

The company briefly allowed Bitcoin as a payment option for its vehicles in March 2021, only to reverse the decision weeks later. Tesla CEO Elon Musk cited environmental concerns related to Bitcoin mining as the reason for this reversal. Since then, the company has kept its Bitcoin holdings mostly static.

While the reason for Tesla’s Bitcoin movement remains unknown, the decision contrasts expert opinion like Robert Kiyosaki’s call for an increased investment in Bitcoin.

SpaceX, another Musk’s company, holds a significant amount of Bitcoin, with 8,285 BTC worth approximately $553 million, placing it as the seventh-largest corporate Bitcoin holder.

About Jimmy Aki PRO INVESTOR

Based in the UK, Jimmy is an economic researcher with outstanding hands-on and heads-on experience in Macroeconomic finance analysis, forecasting and planning. He has honed his skills having worked cross-continental as a finance analyst, which gives him inter-cultural experience. He currently has a strong passion for regulation and macroeconomic trends as it allows him peek under the global bonnet to see how the world works.