Tesla Buys $1.5 Billion in Bitcoin – WSJ

Tesla Inc. TSLA -1.62% said Monday that it bought $1.5 billion in bitcoin, a disclosure that follows Chief Executive Elon Musk s promotion of the cryptocurrency and other digital-currency alternatives on Twitter.

The electric-vehicle company also said it expects to start accepting bitcoin as payment for its products soon. Bitcoin prices jumped more than 10% after the announcement, according to cryptocurrency research and news site CoinDesk.

Tesla disclosed its bitcoin purchase in its latest annual report, saying the move aims to diversify and maximize returns on our cash that is not required to maintain adequate operating liquidity. Tesla said a board committee had approved changes to company rules on investments, adding that it can also invest cash in gold bullion and gold exchange-traded funds among other assets.

via www.wsj.com