The company first associated itself with Bitcoin after investing the sum of $1.5 billion in the cryptocurrency. The company also announced that it would start accepting the currency as a means of payment for its cars, which it did. CEO Elon Musk announced that the company will no longer accept the currency for its cars, and this has caused quite some uproar both in the crypto-verse and from customers.
After Elon Musk’s tweet announcing that Tesla will no longer accept Bitcoin, Bitcoin fell by about 10 percent. Elon Musk is a huge supporter of cryptocurrency and its use and never lets any opportunity to speak for cryptocurrency pass him by.
Elon Musk’s decision to stop Bitcoin as a means of payment for Tesla cars comes from concerns of environmental sustainability. Elon Musk, apart from being a strong crypto advocate, is also known as an environmentalist. His support for cryptocurrency and being an environmentalist has been in contrast for quite a while because environmentalists have shown huge concerns about how Bitcoin is being mined. Bitcoin uses a huge amount of electricity and fossil fuels, and this raises concerns amongst environmentalists.
“Cryptocurrency is a good idea on many levels and we believe it has a promising future, but this cannot come at a great cost to the environment”, Elon Musk tweeted. Few hours after his tweet, Tesla shares fell 1.25 percent.
According to Technoking and Dogefather, Tesla will keep its Bitcoin holdings and will continue to use them as soon as mining transitions to more sustainable sources.
Elon Musk recently asked his Twitter fans if they would like Tesla to start accepting Dogecoin as a means of payment for its electric vehicles. Out of the 3,922,516 people that voted, 78 percent wanted Tesla to start accepting Dogecoin as a means of payment. There is therefore a huge possibility that the company might begin to accept Dogecoin as a means of payment for its products but leaves critics with a lot of questions such as if Elon Musk is up to games with his decision and if Dogecoin doesn’t use the same mining process as Bitcoin.
There is also a huge possibility that if Tesla had plans of accepting Dogecoin as a means of payment, it might be placing that on hold too since Elon Musk’s reason for halting the acceptance of Bitcoin is due to the effects it has on the environment.
Ibhadojemu Lucky Emmanuel is a graduate of Education and Economics from the University of Benin. He has a passion for tech and business and has been writing professionally for over a period of five years. He's written across various topics and segments and knew tech-business was it when he first stumbled on it. He has a great passion for music and arts, and wants to visit as many countries as he can someday.
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