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Musk says Tesla will accept bitcoins when miners use more clean energy

Published 06/13/2021, 02:23 PM
Updated 06/13/2021, 03:05 PM
© Reuters. FILE PHOTO: A Tesla car is seen in Los Angeles, California, U.S., July 9, 2020.  REUTERS/Lucy Nicholson/File Photo
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(Reuters) -Tesla Inc Chief Executive Officer Elon Musk tweeted on Sunday that the electric carmarker will resume allowing bitcoin transactions when miners who verify transactions use more renewable energy.

"When there's confirmation of reasonable (~50%) clean energy usage by miners with positive future trend, Tesla (NASDAQ:TSLA) will resume allowing Bitcoin transactions," he said in a tweet.

Bitcoin rose 5.1% to $37,360.63 at 1810 GMT (2:10 p.m. ET) on Sunday, adding $1,817.87 to its previous close, after Musk's tweet.

Musk also said that Tesla sold about 10% of holdings to confirm bitcoin could be liquidated easily without moving market.

He announced in May that Tesla would no longer accept bitcoin for car purchases, citing long-brewing environmental concerns for a swift reversal in the company's position on the cryptocurrency. Bitcoin fell more than 10% after his tweet.

© Reuters. FILE PHOTO: A Tesla car is seen in Los Angeles, California, U.S., July 9, 2020.  REUTERS/Lucy Nicholson/File Photo

The billionaire said that he believed cryptocurrency has a promising future, but it cannot be at great cost to the environment.

In February, Tesla revealed it had bought $1.5 billion of bitcoin and would accept it as a form of payment for cars.

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