- May 19, 2017
Tesla’s bet on Bitcoin has already delivered a $101 million profit, the company said in its Q1 report.
Tesla revealed in February that it had bought $1.5 billion in Bitcoin. In a Securities and Exchange Commission filing, Tesla said it bought the bitcoin for “more flexibility to further diversify and maximize returns on our cash.”
The cryptocurrency has experienced a significant increase in value since the investment.
“Year over year, positive impacts from volume growth, regulatory credit revenue growth, gross margin improvement driven by further product cost reductions and sale of Bitcoin ($101M positive impact, net of related impairments, in “Restructuring and Other” line) were mainly offset by a lower ASP, increased SBC, additional supply chain costs, R&D investments, and other items,” Tesla said in the report. “Model S and...