Tesla’s $777 million Bitcoin stash may still be intact despite recent transfers to new wallets, fueling speculation about a potential sell-off. According to Arkham Intelligence, these transfers were routine wallet rotations, and Tesla still owns the 11,509 BTC. Last week, Tesla distributed its entire Bitcoin stash among seven wallets, each containing over 1,000 BTC. The largest wallet, “1Fnhp,” holds 2,109.3 BTC worth $141.4 million, while the smallest, “1MGM8,” holds 1,100 BTC valued at $73.7 million.
No official announcements have been made by Tesla regarding the reason for the transfers, but the funds have remained stationary since then, calming sell-off rumors. If Tesla is indeed still holding onto its Bitcoin, it remains the fourth-largest corporate Bitcoin holder, trailing behind Marathon Digital and Riot Platforms, with MicroStrategy leading with 252,220 BTC.
Last week’s unexpected transfers sparked speculation among traders, with theories ranging from a potential sell-off to a donation to Donald Trump’s election campaign. Arkham suggests that the funds may be shifting to a custodian or could be used as collateral for a loan. All eyes are on Tesla’s upcoming Q3 earnings report, which is expected to shed light on its financial position and recent Bitcoin activity.
Tesla has previously sold off portions of its Bitcoin holdings. In February 2021, the company sold 4,320 BTC to test its market impact. In June 2022, it sold another 29,160 BTC to strengthen its cash position during the Covid lockdowns in China.
Tesla was one of the first major companies to accept Bitcoin as payment for its cars in March 2021 but later reversed the decision due to environmental concerns about Bitcoin mining. However, with Bitcoin’s increasing use of renewable energy, there is speculation that Tesla might reconsider accepting Bitcoin payments. No official statement has been made on this matter.
Overall, Tesla’s Bitcoin stash may still be intact, and the recent transfers could have various explanations, from routine wallet rotations to strategic moves for collateral or custody. The company’s upcoming earnings report and its stance on Bitcoin acceptance will provide further insights into its plans.