Tesla Temporarily Halts the Use of Bitcoin to Pay for Its Cars
Tesla's CEO Elon Musk announced on Twitter that the company had suspended the use of Bitcoin as payment for the manufacturer's electric vehicles.
He justified this decision by the environmental problems caused by mining, which is necessary to ensure the existence and functioning of this cryptocurrency:
Tesla & Bitcoin pic.twitter.com/YSswJmVZhP
— Elon Musk (@elonmusk) May 12, 2021
The ability to pay for electric cars with cryptocurrency was introduced in March 2021. This payment method was available only to buyers from the United States:
Musk said Tesla has no plans to sell its Bitcoin holdings until more sustainable energy sources are used to mine it. The billionaire noted that despite the promising future of cryptocurrencies, his company could not afford to harm the environment.
To be clear, I strongly believe in crypto, but it can’t drive a massive increase in fossil fuel use, especially coal
— Elon Musk (@elonmusk) May 13, 2021
According to CoinDesk, immediately after Musk's message, the price of Bitcoin dropped to $47.7 thousand (a drop of more than 17%), but later the rate rose above $50 thousand.
It is noteworthy that a couple of days ago, the head of Tesla asked Twitter users if they would like the automaker to accept Dogecoin as payment. According to the survey, over 78% answered in the affirmative.
Do you want Tesla to accept Doge?
— Elon Musk (@elonmusk) May 11, 2021