Tesla CEO Elon Musk disclosed in a Wednesday tweet that the electric car company will no longer accept Bitcoin payments. The news comes barely two months after Tesla announced it would accept the leading cryptocurrency from US customers, as well as hold the proceeds.
According to a message attached to the tweet, Tesla’s decision to stop accepting Bitcoin follows the realization of the “increasing use of fossil fuels for Bitcoin mining and transactions.”
Tesla & Bitcoin pic.twitter.com/YSswJmVZhP
— Elon Musk (@elonmusk) May 12, 2021
A huge relief for Bitcoin holders from Musk’s announcement is that the company will not be liquidating its Bitcoin position which stood at around $2.5 billion at the end of the last quarter. Tesla had purchased $1.5 billion worth of Bitcoin in February, and even booked around $100 million in profits according to its quarterly report.
Will Tesla Accept Dogecoin?
It will be interesting to see whether Elon Musk and Tesla replace Bitcoin with meme coin Dogecoin, as the accepted medium for paying for their electric cars. Musk is undoubtedly at the forefront of pushing Dogecoin’s adoption, tweeting ‘moon boy’ posts about the meme coin, and recently promoting it in an epic Saturday Night Live (SNL) appearance at the weekend.
Musk is also the apparent mastermind behind SpaceX’s upcoming space mission paid for with Dogecoin. Just a day ago, the Tesla CEO made a tweet asking followers whether Tesla should adopt Dogecoin as a payment method.
Do you want Tesla to accept Doge?
— Elon Musk (@elonmusk) May 11, 2021
It is worth noting that Dogecoin uses the same energy-intensive proof-of-work (PoW) model which Musk’s post openly criticized about Bitcoin in his latest update. However, with Tesla’s Technoking raving about Dogecoin lately, it wouldn’t be entirely surprising if the company announces that it would now accept the meme coin from customers.
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