Tesla automobile founder Elon Musk has recently announced his allegiance towards bitcoin by allowing it as a means of payment for Tesla Inc (Electric cars). In addition this the company recently bought $1.5 billion worth of bitcoin.
The reports were revealed in an annual financial report submitted by Tesla inc. The reports along with a string of social media posts by Musk, has raised the value of the popular cryptocurrency.
The financial analyst suggests that this new move can allow bitcoin to venture into other platforms like PayPal (also a Musk owned company) and services like BlackRock.
The signs of these were already on the wall as late in January Elon Musk who has around 46M followers tagged #bitcoin in his Twitter bio.
Tesla has given out an official statement saying that the decision for the acceptance of bitcoin as payment was part of the financial investment policy and maximization on return on cash.
A report suggests it ended 2020 with $19.38 billion in cash.
“If this becomes a trend in corporate treasuries the downside of staying on the sidelines will only become costlier over time,”Maya Zehavi, a blockchain consultant.