Bitcoin set a record when it went above $48,000 on Tuesday, which is just a day after Tesla said in a regulatory filing with the Securities & Exchange Commission.
Tesla, in the filing, said it purchased $1.5 billion of the digital asset.
“...We invested an aggregate $1.5 billion in bitcoin under this policy and may acquire and hold digital assets from time to time or long-term," the company said in the filing.
“In January 2021, we updated our investment policy to provide us with more flexibility to further diversify and maximize returns on our cash that is not required to maintain adequate operating liquidity,” Tesla said.
“As part of the policy, which was duly approved by the Audit Committee of our Board of Directors, we may invest a portion of such cash in certain alternative reserve assets including digital assets, gold bullion, gold exchange-traded funds and other assets as specified in the future,” the company added in the filing. "Moreover, we expect to begin accepting bitcoin as a form of payment for our products in the near future, subject to applicable laws and initially on a limited basis, which we may or may not liquidate upon receipt.”
Recap TheStreet Live: Everything Jim Cramer Is Watching Tuesday