Bitcoin spends a lot of time in the headlines with its exceptional earnings and popular adoption being the lead of these news stories. Many...
Elon Musk, arguably the world’s biggest name in technology and innovative development, has been stirring the world of cryptocurrency and blockchain-based cryptocurrencies for some time. With a wealth of influence across the globe, it’s obvious that he has the ability to play as a whale in any market. Recently, Musk’s company Tesla converted a massive 1.5 billion dollar chunk of its assets on its balance sheet to Bitcoin. Musk himself, however, as an individual investor has a different relationship with Bitcoin investment.
Elon Musk and cryptocurrencies
Whenever Elon Musk tweets about a cryptocurrency, the market seems to explode in little to no time. Musk’s activity on the social media platform recently led to Dogecoin’s surge in value. From memes to Twitter polls, Musk’s (seemingly in jest) advocacy for Dogecoin resulted in the cryptocurrency seeing a wave of investors flood in.
The future currency of Earth
— Elon Musk (@elonmusk) February 6, 2021
He also offered in a private chat on Clubhouse that the most ironic, entertaining outcome of the future of money would be for Dogecoin to step in as the next evolution:
“The most entertaining outcome is often the most likely. Arguably the most entertaining outcome, and most ironic outcome, would be that Dogecoin becomes the currency of Earth in the future.”
As a result of his tweets, Dogecoin saw enormous volatility as part of a major pump-and-dump driven by confusion and high sentiment. Within a week, the cryptocurrency had risen by 78% with a whopping near 30% spike in 24 hours alone. Volumes of purchases weren’t the only to rise either, the volume rose nearly doubly with a whopping 93.85% increase in volume moved in a few days.
What is Musk’s net worth?
He became the world’s richest man for a brief time in January 2021, overtaking Amazon’s Jeff Bezos, with a net worth of $182.9 billion USD at the beginning of the year. Bezos claimed back the spot when Amazon stocks rallied, making him $995 million USD richer than Musk.
Musk’s net worth has grown considerably over the past year. This time last year, in March 2020, his net worth had increased by more than $150 billion USD – a massive amount in only 11 months.
Has Musk invested in Bitcoin?
Musk admitted that he only owns 0.25 Bitcoin himself in a tweet in 2018, and reconfirmed this in May 2020. He also offered that this amount was given to him by a friend, and not bought himself. He has made no claims to say that he has purchased any Bitcoin since then.
I still only own 0.25 Bitcoins btw
— Elon Musk (@elonmusk) May 15, 2020
It’s important to point out that Musk’s company Tesla has invested in Bitcoin. So while the technology expert himself might not have holdings in Bitcoin, he seems to see enormous value in the cryptocurrency.
Tesla invests in Bitcoin
As recently reported, Tesla put $1.5 billion USD of its balance sheet into Bitcoin. Within 24 hours, Bitcoin price had risen by nearly 20%, gaining a new record high as a result of the massive injection from Tesla and new investments driven by high sentiment.
Has Elon Musk traded Bitcoin?
In the same way that Musk does not seem to have made mention of having bought Bitcoin, there is no evidence to suggest that he is a Bitcoin trader at all. With platforms for trading and the anonymous nature of Bitcoin meaning that he might be trading either through a decentralised platform or an automated trading platform, but just does not disclose this information. If this is the case, albeit unlikely, Musk would be one of Bitcoin’s biggest whale investors without offering his name and keeping his activity private.