Tesla, the electric vehicle leader, has moved its entire Bitcoin (BTC) holdings, worth about $765 million, to a series of unknown wallets, raising questions about the company's strategy toward cryptocurrencies.
According to data from Arkham Intelligence, the transactions involving 11,500 Bitcoin were moved across 26 separate transactions to multiple new addresses. Despite the large-scale movement, the funds were not linked to any cryptocurrency exchange, suggesting Tesla may not be liquidating its Bitcoin at this time.
The move marks the first time Tesla's Bitcoin wallet has been active since June 2022. Prior to the transfer, the wallet had been inactive, leading many industry observers to speculate about the company's plans.
Tesla first entered the Bitcoin market in February 2021, purchasing $1.5 billion in the cryptocurrency. In the following months, the company sold some of its holdings, including 4,320 BTC in early 2021 and another 29,160 BTC in 2022.
CEO Elon Musk allowed Bitcoin as a payment method for Tesla vehicles in 2021, but quickly reversed the decision due to environmental concerns. However, he later announced on social media that the company would accept BTC payments again once 55% of the electricity used for the network comes from renewable sources.
The latest transfer has sparked speculation, but the company has yet to make a public statement about the move. Musk's other venture, SpaceX, still holds 8,285 BTC, worth more than $553 million, making it one of the largest private Bitcoin holdings.
More details about Tesla’s Bitcoin strategy may emerge in the company’s third-quarter financial report, scheduled for release on October 23.
The market reaction to Tesla’s latest Bitcoin activity has been muted, as the leading cryptocurrency continues to show bullish signs amid market optimism for higher prices.