Tesla Reported $140 Million in Net Losses from Bitcoin Last Year

During the second quarter of last year, Tesla sold three-quarters of its Bitcoin holdings.

During the second quarter of last year, Tesla sold three-quarters of its Bitcoin holdings.

On Monday, a new filing with the U.S. Securities and Exchange Commission showed that electric vehicle maker Tesla lost more than $140 million in the world’s largest cryptocurrency, Bitcoin.

Although the car manufacturer made $64 million in profits from cryptocurrency trading, it also faced $204 million in Bitcoin losses.

“[W]e recorded $204 million of impairment losses resulting from changes to the carrying value of our Bitcoin and gains of $64 million on certain conversions of Bitcoin into fiat currency by us,” Tesla said.

The company said that even if the market price of its crypto holdings moved in a positive direction, the charges may “negatively impact our profitability.”

During the second quarter of last year, Tesla sold three-quarters of its holdings, despite investing $1.5 billion in Bitcoin in 2021.

In that same year, the company proudly trumpeted the fact that it would accept Bitcoin payments in the U.S., only to backtrack a few months later and say that the environmental impact of cryptocurrency made it re-evaluate its decision. By summer 2021, however, Tesla was proclaiming that it would “most likely” restart Bitcoin payments.

And despite Tesla CEO Elon Musk’s public support of Dogecoin, the company reported that the popular memecoin was not on its balance sheet. Ardent Dogecoin fans still have one reason to rejoice, though: Dogecoin remains accepted as a payment method on the Tesla website.