Bullish news for Bitcoin
According to the news released by Elon Musk on his Twitter, Tesla customers can now pay for Model X, Model 3, Model S and Model Y in the biggest cryptocurrency, Bitcoin. This option is only available for U.S. customers, however, Elon Musk also informed that the rest of the world should have this option latest by the end of this year. Moreover, he also specified, how Tesla is going to approach the Bitcoin payments, which turns out to be even more bullish news than the acceptance of BTC itself.
Tesla plans to HODL
Elon Musk noted that Tesla is not only going to accept Bitcoin as a means of payment for its products, but HODL (slang expression for “long term holding” in the cryptocurrency world) the bitcoins it will receive via payments. The company is not planning to sell its bitcoins to fiat currencies, therefore stating that the 1,5 billion dollars of initial investment that Tesla announced in February, is not final. Tesla is planning to expand its holdings of Bitcoin directly by selling its cars.
Moreover, Musk explained that Tesla also runs Bitcoin nodes, essentially becoming part of the network and helping to host and synchronise the blockchain of the biggest cryptocurrency. This clearly shows that the e-car manufacturer does believe in Bitcoin, which was met with price increase of the biggest cryptocurrency of 5 % after the announcement.
It is important to note that Tesla allowed for Bitcoin payments only. No other cryptocurrencies are supported at the time of writing. Even forks of Bitcoin such as Bitcoin SV or Bitcoin Cash are not supported by the digital wallets of Tesla, meaning that only Bitcoin can be used as a payment method.