It is now official that Elon Musk, the CEO of Tesla Motors has confirmed that the automaker has suspended the Bitcoin payment method for new cars. The billionaire CEO made this announcement on Wednesday 12th of May 2021 as he expresses fear that Bitcoin mining could be greatly contributing to global warming. Immediately after his announcement of Tesla’s Bitcoin payment suspension, the cryptocurrency dropped by 5% in overall value.
Elon Musk, the billionaire CEO of Tesla Motors, says that the automaker has suspended Bitcoin payments for new cars
A few months ago, there were official reports confirming that Tesla Motors purchased a huge amount of bitcoin of $1.5 billion worth and the company planned to invest more in the cryptocurrency as time goes on. As a matter of fact, the electric carmaker also began accepting Bitcoin payments for new cars and other products purchase around that time. In a similar vein, Tesla CEO, Elon Musk has also been a huge fan and promoter of DOGECOIN cryptocurrency over the past few months.
Fast forward to Wednesday, May 12, Elon Musk simply took a complete U-turn by announcing that Tesla Motors has suspended the acceptance of bitcoin for car payments due to environmental concerns. According to Tesla, the estimated global amount of energy being used for mining Bitcoin is alarming and it is raising serious concerns for the company’s investment. As of the time of writing this report, Elon Musk has further announced that the company is looking to accepting an alternative cryptocurrency that uses less than 1% of Bitcoin’s mining energy.
These are the tweets of Tesla CEO, Elon Musk a few months ago versus now
Considering the way Elon Musk has been a strong promoter of DOGECOIN cryptocurrency, there are so many indications that he might approve it to be adopted by Tesla Motors for product purchase. Yes, this is mainly because the currency seems to be currently using very low energy for its mining processes.
In any case, you can watch this video below to get more information about the current issues surrounding Tesla Motors and Bitcoin payment suspension.
Why Tesla will no longer accept bitcoin currency for cars