SpaceX, the aerospace technology firm, has reportedly sold approximately $373 million worth of Bitcoin (BTC) that it acquired between 2021 and 2022, according to a recent report. The Wall Street Journal revealed that SpaceX recorded $5.2 billion in total expenses for 2022, with $373 million worth of Bitcoin holdings listed on its balance sheet. However, the firm has since sold the cryptocurrency, as indicated in its financial documents. The sale comes after SpaceX CEO Elon Musk announced the company's Bitcoin acquisition in 2021.
Bitcoin Acquisition and Tesla Connection
In 2021, Elon Musk disclosed the purchase of a significant amount of Bitcoin by SpaceX, following a similar move made by Tesla, another company co-founded by Musk. The electric vehicle manufacturer filed documents with the U.S Securities and Exchange Commission, revealing its plan to acquire $1.5 billion in Bitcoin. This announcement had a considerable impact on the cryptocurrency market, as Bitcoin reached a then all-time high price of over $43,000.
Tesla's Bitcoin Liquidation
In Tesla's Q2 2023 earnings report, the company confirmed that it had sold nearly all of its Bitcoin holdings, retaining only $184 million worth of the cryptocurrency. The electric vehicle manufacturer liquidated over 30,000 BTC in the second quarter of 2022, amounting to $936 million, which represented about 75% of its original $1.5 billion Bitcoin holdings.
Musk's Social Media Influence
Elon Musk, one of the world's wealthiest individuals, has often used social media platforms to express his opinions on cryptocurrencies such as Dogecoin (DOGE) and Bitcoin. He even temporarily changed Twitter's logo to the DOGE Shiba Inu after his $44 billion purchase of the platform, which later underwent a rebranding to X. Musk has suggested that the revamped platform could offer a wide range of financial services, including banking and payment solutions.
Unclear Timing of SpaceX's Bitcoin Sale
It remains unclear when exactly SpaceX sold its Bitcoin holdings, considering that the crypto market experienced a significant crash in 2022. This crash resulted from the collapse of major firms like Terraform Labs. Despite the volatility, many technology firms and financial institutions continue to hold Bitcoin and other cryptocurrencies.
