Tesla’s substantial $780 million Bitcoin investment remains intact, despite recent transfers to unknown wallets, according to Arkham Intelligence. The blockchain analytics firm stated that the movements, observed earlier this month, are likely routine wallet rotations rather than a sale or liquidation.
“We believe that the Tesla wallet movements we reported on last week were wallet rotations, with the Bitcoin still owned by Tesla,” Arkham Intelligence confirmed in a post on X.
Bitcoin Split Across Seven Wallets
On October 15, Tesla divided its 11,509 Bitcoin across seven new wallets, with each wallet holding between 1,100 and 2,200 BTC. The two largest wallets, labeled “1Fnhp” and “1LERL,” received $142.2 million and $128.1 million, respectively.
Initially, the large-scale movement raised concerns of a potential market dump, leading to speculation on social media platforms. However, Arkham’s data shows no further Bitcoin transactions from these wallets, suggesting that Tesla has not sold any of its holdings.
Impact on Bitcoin’s Price
Despite the transfers, Bitcoin’s price was unaffected. Bitcoin rose 5% to $69,220 by October 21 before a slight pullback to $67,600, according to CoinGecko.
While Tesla has not commented on the reason behind these transfers, some speculate that the funds may have been moved to a custodian, potentially for loan purposes, as Tesla uses Coinbase Prime Custody for storage. The company’s third-quarter earnings call on October 23 may provide further insight into the matter.
If Arkham’s assessment holds, Tesla remains among the largest corporate Bitcoin holders, following MicroStrategy, Marathon Digital, and Riot Platforms. Additionally, SpaceX, another company led by Elon Musk, holds 8,285 Bitcoin valued at $560 million.
Tesla’s Initial Bitcoin Purchase
Tesla first entered the Bitcoin market in February 2021, acquiring $1.5 billion worth of the cryptocurrency.
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