Tesla, the innovative electric vehicle company founded by entrepreneur Elon Musk, has been making headlines in recent years for its bold vision of the future of transportation. But in February 2021, the company made news for another reason: it announced that it had invested $1.5 billion in bitcoin, the world’s most popular cryptocurrency.
The move was seen as a major endorsement of bitcoin as a legitimate investment vehicle, and it also raised questions about how much a Tesla vehicle would cost in bitcoin. After all, if Tesla was willing to put so much money into the digital currency, it seemed likely that they would be willing to accept it as payment for their cars.
So, how much bitcoin does a Tesla cost? The answer, as with many things in the world of cryptocurrency, is complicated.
First of all, it’s worth noting that as of this writing, Tesla has not yet announced any plans to accept bitcoin as payment for its vehicles. While the company’s investment in the currency certainly suggests that they are bullish on its future, it’s unclear if they will actually go so far as to accept it as payment.
Assuming that Tesla does eventually accept bitcoin, the price of a Tesla vehicle in bitcoin would depend on a number of factors. The most obvious factor is the price of bitcoin itself. As of early 2021, the price of a single bitcoin was hovering around $40,000, though it has been known to fluctuate wildly in both directions.
If Tesla were to accept bitcoin as payment today, a Model 3, the company’s most affordable vehicle, would cost around 1.1 bitcoin at current prices. A Model S, Tesla’s luxury sedan, would cost around 2.7 bitcoin, while a Model X, the company’s SUV, would cost around 3.0 bitcoin. Finally, Tesla’s upcoming Cybertruck, which is expected to hit the market in 2022, would cost around 5.5 bitcoin.
Of course, these prices are subject to change based on the price of bitcoin. If the price of the cryptocurrency were to rise, the cost of a Tesla vehicle in bitcoin would rise as well. Conversely, if the price of bitcoin were to fall, the cost of a Tesla vehicle in bitcoin would fall as well.
Another factor to consider when calculating the cost of a Tesla vehicle in bitcoin is any fees or transaction costs associated with using the cryptocurrency. While bitcoin has gained in popularity in recent years, it is still relatively new and not yet widely adopted as a payment method. As a result, there may be additional fees or transaction costs associated with using it to purchase a car.
Finally, it’s worth noting that even if Tesla were to accept bitcoin as payment, it’s unclear if they would hold onto the cryptocurrency or convert it into another currency such as US dollars. If they were to hold onto the bitcoin, they would be taking on the risk of the currency’s volatility. If they were to convert it into another currency, they would be subject to exchange rates and fees.
In conclusion, while it’s currently unclear if Tesla will accept bitcoin as payment for its vehicles, if they were to do so, the cost of a Tesla vehicle in bitcoin would depend on a number of factors, including the price of bitcoin itself, any fees or transaction costs associated with using the cryptocurrency, and the company’s decision to hold onto or convert the bitcoin. As with all things related to cryptocurrency, the situation is complex and subject to change.