Bitcoin price today topped out over $47,500, and Etherium at over $1760 a new all-time high for two of the world’s largest cryptocurrency.
Speaking of Tesla, the electric car maker was instrumental in producing today’s Bitcoin price surge after announcing it’s acquisition of Bitcoin worth $1.5 billion according to data from CoinMarketCap.
It would be noted that Elon Musk, the CEO of SpaceX and also CEO of Tesla has been reportedly make rounds on twitter about his love for cryptocurrencies.
He earlier twitted about DogeCoin causing the coin to rise to an all time high.
With Tesla’s purchase of $1.5 billion of Bitcoin, means that Tesla’s holdings in BTC increased by several hundred million in under 24 hours—not a bad return.
It also means that a Bitcoin price point near $50,000—which would never have been thought about in few months past—is within reach.
It is important to note that Tesla isn’t the first company to put Bitcoin on its books. Other companies like MicroStrategy, a business intelligence firm led by BTC proselytizer Michael Saylor, has spent $1.15 billion to buy Bitcoin, even selling securitized debt to purchase more of the digital asset. As of today, its 71,079 BTC are worth about $3.2 billion.
It’s not just companies that are coming to the crypto space, Miami Mayor Francis Suarez, who wants to make the Florida city a global hub for crypto, made an announcement that he’s working on a resolution to invest municipal funds into Bitcoin.
Tesla revealed its bitcoin buy in its most recent yearly report, saying the move expects to “expand and boost returns on our money that isn’t needed to keep up satisfactory working liquidity.”
Tesla said a board advisory group had endorsed changes to organization rules on speculations, adding that it can likewise put money in gold bullion and gold trade exchanged assets among different resources.
But this development can not be left without comments as 4 experts in the crypto industry made comments about Tesla’s purchase.
Stefan George, cofounder and chief technology officer at the prediction-market platform Gnosis
“Tesla’s bitcoin acquisition is a strong signal for a new era of integration between the cryptocurrency ecosystem and mainstream business, in which tokens increasingly act as not only a store of value but tangible medium of exchange.”
Dermot O’Riordan, partner at the blockchain-focused private-equity firm Eden Block
“This moment will likely be looked upon in years to come as a genuine tipping point; Elon and Tesla’s support legitimizes crypto and opens up bitcoin to a whole new class of retail and institutional investors. Now it seems all of Wall Street is in bed with this industry – if they weren’t paying attention before, they are now.”
Antoni Trenchev, cofounder and managing partner at the crypto lender Nexo
“Tesla and Bitcoin – the archetypes of volatility – inevitably meet again because they are tools that came about because of frustration and courage, to paraphrase the old saying. Frustration at the way things are, and courage to make sure that they do not remain as they are.”
Alex Mashinsky, CEO of the crypto lender Celsius Network
“The richest person in the world just told you he does not believe in holding dollars as a long term store of value. We have heard from the smartest investors in the world and now we have heard from the richest people in the world, they all agree that having 5-10% of your net worth in BTC is a critical part of a well diversified portfolio.”