Tesla lost $23 million on Elon Musk's Bitcoin bet.

Tesla had to register a $23 million Bitcoin impairment loss in Q2. Bitcoin's big drop in Q2 led to a $23 million impairment loss, which Tesla reported on Monday. According to Katy Rooney of CNBC, the corporation was expected to post a loss due to accounting rules:

Tesla considers cryptocurrency to be a "intangible asset," and due to accounting laws, when Bitcoin's value falls below a particular threshold, businesses must deduct that amount from their financial accounts.

She does, however, point out that the impact isn't as severe as some analysts had predicted.

With a $1.5 billion investment in early 2021, the e-car manufacturer made a big statement in the crypto market. It sold $101 million in Bitcoin in April to see how liquid the cryptocurrency is.

Tesla, on the other hand, hasn't sold any of its crypto assets. Its Bitcoin holdings are currently valued at $1.3 billion.


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