Tesla, led by Elon Musk this past week, would seem to have timed its commitment of $1.5 billion to BTC from its treasury perfectly. Just as no less than five Chinese regulators summon the company on a variety of consumer complaints regarding the quality of its EV products, referring in particular to battery fires and abnormal acceleration.
Not a huge BTC investment relative to Tesla's present market valuation of $772 billion and a share price of $811 at the time of writing.
Nothing like news displacement or distraction to deflect from production and serious quality problems and then notify potential customers it would shortly begin to accept BTC as payment for its cars.
We seem to recall other 'News Grabbing Headlines' that were clearly 'deflection' tactics from its real EV car business. From youngsters trapped in a Thai cave to spurious claims of taking Tesla 'private' with the help of the Saudi Arabian Sovereign wealth fund. That exercise resulted in a substantial fine, apparently amounting to $21 million by the SEC for Elon. He was accused of publicly promulgating sensitive market price information affecting Tesla with unsubstantiated and uncollaborated claims. The SEC fine settled the 'misspoken' to that regulatory authority, although other class actions from investors remain unresolved.
On another recent occasion, but more bizarrely, Elon suggesting his Tesla stock was overpriced. That was many hundreds of dollars ago before its current stratospheric price.
We are certain Elon hopes the latest BTC initiative continues to support Tesla's exalted share price, now trading below its recent all-time high of $883.
Then again, maybe reality is beginning to emerge.
Given that Tesla has never made a profit from EV car production but instead relied upon tax credits and opaque financial engineering maneuvers, it does illustrate the persistent questions as to what is a correct valuation.
Mindful of what befell Jack Ma last autumn, and the resentment that the State [CCP] inflicted on its once super tech hero is a stark warning.
Maybe Elon Musk has served his purpose for the Chinese State?
The reverse engineering has now been achieved, technical know-how captured for its local manufacturers, including BYD, SAIC, BAIC, among several others.
ZaiJian [Good Bye] Elon./p>
Around 78% of the 21 million BTC in issue are either lost or being 'warehoused,' which leaves only less than 4 million coins available to trade on the open market as its price leaped after Tesla's announcement to over $48000 per coin at one point on Monday, February the 8th.
Compounding the parabolic rise of BTC were market suggestions that other major corporates were now considering diversifying their cash coffers. This includes Apple, which is rumored to be contemplating a $5 billion investment in diversification from its vast cash holdings.