Tesla Inc., the largest manufacturer of electric vehicles in the world, has kept its crypto holdings constant over the past four quarters. According to the EV giant’s earnings report for the second quarter of FY 2023, the digital assets on its balance sheet totaled $184 million as of June 30, 2023. This is unchanged since the first quarter of FY 2022 when the company sold 75% of its Bitcoin holdings, worth $936 million at the time.
The news caused Tesla’s stock (TSLA) to drop 3% at the close of trading, with each share worth $291. The company missed out on the recent Bitcoin rally that saw the cryptocurrency reach a 1-year high of $31,000.
By the end of the third quarter of FY 2022, Tesla’s crypto assets are projected to exceed $218 million. This came after the company’s initial investment of $1.5 billion in Bitcoin in early 2021, which was followed by a surge in its price. The plan to allow customers to use BTC to purchase electric vehicles was, however, abandoned due to environmental concerns.
The company and its CEO Elon Musk are facing a class-action lawsuit filed by investors, who claim the meme token Dogecoin was manipulated by Tesla and Musk, resulting in billions of dollars in losses for competitors. The lawsuit also mentions a number of crypto wallets allegedly owned by the EV company. Musk has responded to the complaint by denying any affiliation with the wallets.
