Tesla Inc. has begun officially accepting bitcoin as a currency to purchase their electric vehicles, Chief Executive Elon Musk said Wednesday, further boosting the digital money.
“You can now buy a Tesla with bitcoin,” Elon Musk said on Twitter, implementing a plan announced in February to accept the cryptocurrency as a form of payment.
After the announcement, Bitcoin shot up 4.3pc to $56,802 in the middle of the day.
When buying a Tesla’s online, bitcoin is now available as a method of payment.
However, car buyers who choose this option may be prompted to “provide us with additional information to allow us to verify your identity,” Tesla said in its “terms and conditions” section on the website.
“All products are priced in US dollars,” the website added. “If you choose to make a payment using bitcoin, you must pay an amount of bitcoin that is of equivalent value to the US dollar purchase price.”
Elon Musk says that Tesla will accept bitcoin payments directly and the funds “will be retained as bitcoin, not converted to fiat currency.”
Earlier this year, the company bought a lucrative $1.5 billion bitcoin in an investment of the century.
Here are some reactions to the news:
You can now BUY a depreciating asset with an appreciating asset 🤑
(This is genius from Tesla though, and I’d expect no other car company to do it first) https://t.co/VftMixoHT5
— Marques Brownlee (@MKBHD) March 24, 2021
Imagine spending your #Bitcoin to buy a Tesla instead of HODLing. Diamond hands bro.
— Dr. Parik Patel, BA, CFA, ACCA Esq. 💸 (@ParikPatelCFA) March 24, 2021
Customer: Hello, I’d like to buy a Tesla.
Dealer: Sure, that will be 1 btc.
*two hours later*
Customer: I’d like to return my Tesla.
Dealer: Sure, here’s your 0.8 btc back.
— Douglas A. Boneparth (@dougboneparth) March 24, 2021