Tesla appears to continue holding its substantial Bitcoin holdings, valued at approximately $780 million, despite recent transfers of these funds to undisclosed wallets on October 15, as reported by blockchain analytics firm Arkham Intelligence.
In a post dated October 22 on X, Arkham clarified that Tesla’s wallet activities seem to reflect “wallet rotations,” indicating that the company still possesses its Bitcoin assets.
On October 15, Tesla redistributed its 11,509 Bitcoin across seven wallets, with individual holdings ranging from 1,100 to 2,200 BTC. Two of the larger wallets received transfers of 142.2 million BTC and 128.1 million BTC, which led to speculation among investors about a potential market sell-off. However, no funds have been moved from these wallets since the transfer.
Significantly, Bitcoin’s price experienced a 5% increase following the transfers, trading at $69,220 on October 21, before pulling back to $66,943 at the time of writing on CoinMarketCap.
The rationale behind Tesla’s transfers remains uncertain. Some analysts suggest that the company might be transitioning its Bitcoin to a custodian, possibly to facilitate a loan secured by its cryptocurrency holdings. Currently, Tesla’s Bitcoin is stored with Coinbase Prime Custody.
Details regarding Tesla’s strategy may be disclosed during its Q3 earnings call scheduled for October 23. If Arkham’s analysis is accurate, Tesla remains the fourth-largest corporate holder of Bitcoin, following MicroStrategy and two Bitcoin mining companies, Marathon Digital and Riot Platforms.
This development comes on the heels of Tesla’s initial investment of $1.5 billion in Bitcoin earlier this year, reinforcing its ongoing engagement with the cryptocurrency market.
Related topics:
Bitcoin Approaches $70,000 Amidst Rising Optimism Ahead of U.S. Elections
CoinSwitch Accuses WazirX of Moving $75 Million in User Funds Post-Hack
CoinGecko Launches First Hybrid Web3 Gaming Conference in Bangkok
