Tesla chief executive Elon Musk, who recently added “technology” to his title, said Wednesday that the company would accept Bitcoin as payment for cars In the United States, there is a move that is in line with the company’s image as an environmentally friendly electric-car manufacturer.
Tesla holds the digital currency instead of converting payments into dollars, and will handle crypto transactions internally, Mr. Musk said.
“For example, bitcoin paid to Tesla will be retained as bitcoin, which will not be converted into fiat currency,” Mr. Musk reported in a tweet. This means that when one buys a Tesla with bitcoin, over time the price of the car can be good. In other words, Tesla is turning lump-sum payments into assets with shifting value, or, essentially, investments.
Buyers outside the United States will have the option to use bitcoin “later this year”, Mr. Musk said.
Mr Musk’s embrace of bitcoin has been welcomed by many cryptocurrency enthusiasts, but the impact of the digital currency on climate change has come under increasing scrutiny.
“Bitcoin uses more electricity per transaction than any other method known to mankind, and is therefore not a great climatic thing,” Bill Gates recently told The New York Times. depending on the studyThe annual carbon emissions from the electricity required to mine a bitcoin and the process of its transactions are equal to the amount emitted by all of New Zealand. Or Argentina.
There is also an electronic waste problem associated with bitcoin mining, which economist Alex de Vries argues Bitcoin energy consumption index And tracks the unintended consequences of digital trends. He said that bitcoin mining is done with specialized equipment, which has a shorter life span, and the devices cannot be repatriated, making investment in digital currency even more problematic from an environmental standpoint, he said Told The Times.
Mr. Musk said last month that the company had bought $ 1.5 billion in bitcoin for its coffers. The announcement on Wednesday confirmed speculation in the crypto community that Tesla would not pay only to third-party processors and treat bitcoin like a dollar.
Since Tesla’s bitcoin purchase in February, the price of Bitcoin And other cryptocurrencies have soared to record highs, but trading has been volatile.
Analysts are happy At least with symbolism. “This is a profitable moment for Tesla and for the crypto world,” Daniel Ives and Streaker Back wrote to analysts at investment firm Wesbush. “This morning’s news formalizes the strategy of Musk and Tesla diving into the deep end of the pool of bitcoin and crypto from a behavioral standpoint.”