On-chain data shows that Tesla Inc. has kept all of its Bitcoin holdings, dismissing recent speculation about a possible sale. Last week, blockchain analytics firm Arkham Intelligence reported that Tesla had transferred its entire stash of 11,509 BTC—currently worth more than 776 million—to new, anonymous wallets.
This massive move has led to widespread speculation that Elon Musk’s Tesla may also divest its Bitcoin holdings. However, Arkham Intelligence has revised its results, suggesting that the transfer was internal and that Tesla still owns Bitcoin.
Tesla Keeps All 11,509 Bitcoin
In a statement to X, Arkham clarified: “We believe that the movement of the Tesla fund that we reported on last week was in exchange for Bitcoin being owned by Tesla. Tesla moved his entire balance of 11,509 BTC ($776.9M) to new wallets.”
The company discovered that the coins were redistributed to seven wallets. Each wallet received a test transaction, and all but one held a round number of BTC, suggesting a strategic reset rather than a liquidation. “Bitcoin is split between 7 wallets holding 1,100 and 2,200 BTC. All wallets have received test transactions and all hold a round number of BTC except one,” wrote Arkham via X.
Tesla’s BTC is currently held in the following wallet addresses: 1Fnhp – 2,109.3 BTC ($142.2 million), 1LERL – 1,900 BTC ($128.1 million), 1D6Vh – 1,800 BTC ($121.3 million), 16,C20 – 1 million, TC , 600 I- BTC ($107.8 million), 1Phab – 1,300 BTC ($87.6million) and 1MGM8 – 1,100 BTC ($74.1 million).
Arkham added: “Some thought this was a move to a custodian, for example getting a loan from BTC.” Speculation that Tesla may have transferred its BTC to a custodian to secure a loan is in line with the practices of companies that acquire crypto-currencies without directly selling them.
The timing of these events is particularly noteworthy. Tesla is scheduled to report its next earnings today, October 23, 2024, after the market closes (23:30 CEST). The upcoming earnings call may provide more details on Tesla’s BTC strategy and the reason for the wallet’s recent activities.
To add a layer of historical context, yesterday, October 22, marked the six-year anniversary of Elon Musk’s first public approval of Bitcoin on X. Six years ago, the price of BTC was as low as $6,400. On that day in 2018, Musk teased fans by sharing a photo and commenting, “Want to buy Bitcoin?” Since then, BTC has risen over 1,000%.
✨ Elon Musk tells you to shop #Bitcoin for $6,000, 6 years ago.
It’s up 1,000% since then 💫 pic.twitter.com/1UqsyODZqv
– Bitcoin Historian (@pete_rizzo_) October 22, 2024
Tesla’s relationship with Bitcoin has become stronger. In February 2021, the company made headlines for buying 1.5 billion worth of BTC, as disclosed in a filing with the Securities and Exchange Commission (SEC). This move has positioned Tesla as one of the largest holders of BTC.
However, in the second half of 2022, Tesla converted 75% of his BTC into fiat currency. This decision was caused by liquidity problems arising from the COVID-19 lockdown in China. Sales totaled nearly $936 million, as reported in Tesla’s quarterly earnings.
At press time, BTC traded at $67,083.
Featured image from Shutterstock, chart from TradingView.com