Tesla may get rid of bitcoin in the near future

analytics6044a09f77961.jpg

If we talk about the purchases of the BTC cryptocurrency by well-known companies, the first ones that come to mind are Tesla and Microstrategy. Both companies have invested more than $ 1 billion in bitcoin. At the same time, the main activity of both companies does not belong to the cryptocurrency segment. Tesla is a manufacturer of electric cars, Microstrategy is a supplier of analytical software. And it seems that this very moment is very upsetting for the investors of these companies. It is one thing when investors deliberately buy shares of companies associated with the cryptocurrency segment. They take into account all the risks associated with cryptocurrencies personally. And it's a completely different thing when investors find out that the company issuing their shares, which is supposed to produce electric cars, suddenly buys $ 1.5 billion worth of bitcoin. The price of Tesla shares fell by 28% in a month and this is a lot. Microstrategy's share price has fallen by 50% over the past month, and that's even more. Thus, other companies could see firsthand what happens when investing in bitcoin begins. After all, there is a big difference between the investments of individuals and legal entities. For example, if Elon Musk announced the purchase of bitcoin with personal funds, it is unlikely that this would lead to a collapse in Tesla shares. In our case, it turns out that Musk bought bitcoins with the money of shareholders. Thus, if you think logically, it turns out that the fall in the shares of these companies is quite normal. Investors are getting rid of the shares of these companies because not everyone wants to deal with bitcoin. Although, on the other hand, a strong drop in Tesla shares can be used by the company itself to buy them back at a cheaper price. However, this consolation is weak. Usually, companies are interested in raising additional funds through the placement of securities, and not vice versa. However, the former top manager of the investment bank Goldman Sachs, Gary Black, believes that the fall in the share price of Tesla would stop if its management announced the sale of bitcoins. "The shareholders would support this decision," Black said. Thus, this example may discourage large companies from investing in bitcoin. Private investors are another matter. In principle, their efforts may also be enough to make bitcoin more expensive for a long period. But companies, especially large ones, especially those that place shares, are unlikely to follow the example of Tesla and Microstrategy now. By the way, at the moment this information does not affect the BTC rate, which on Sunday, despite the status of the weekend, continues to trade with an increase. This means that they continue to buy it.

The material has been provided by InstaForex Company - www.instaforex.com

Pages