Tesla and SpaceX Could Unite $2.5B in Bitcoin Without Buying a Single BTC
Tesla and SpaceX together hold 30,221 Bitcoin worth approximately $2.5 billion, which could be consolidated under one corporate roof if the companies merge.
SpaceX disclosed 18,712 BTC in its June IPO filing, while Tesla reported this week it still holds 11,509 BTC. Combined, these holdings total 30,221 BTC, valued at around $2.5 billion at current prices. A potential merger would place this stash sixth among public companies, ahead of Coinbase and Bullish but behind MARA Holdings.
Musk's Merger Proposal
Elon Musk discussed the proposed merger during SpaceX's earnings call on Tuesday. He revealed both companies had formed special committees of independent directors to study the idea. Musk believes a merger would make sense, but no deal exists yet. The committees haven't agreed on terms, and shareholders would need to approve it, with Tesla requiring backing from holders of 50% of all shares.
Tesla's Bitcoin History
Tesla hasn't always held onto its Bitcoin. The company first disclosed a $1.5 billion purchase in February 2021 to diversify its cash reserves. Two months later, it sold 10% of its holdings for $272 million, which Musk said was meant to demonstrate Bitcoin's liquidity. In July 2022, Tesla converted 75% of its remaining Bitcoin into fiat currency, bringing in $936 million to preserve cash amid uncertainty over China's COVID-19 lockdowns.
No New Demand Created
A merger would consolidate their ownership, not take more supply off the market. Neither company has signaled that it plans to buy or sell. If this moves forward, I'll be interested in what management wants to do with the combined holdings, but adding the balances together is not itself a bullish flow.
Trader Scott Melker noted that Tesla's remaining position shows holding Bitcoin can be 'uneventful even when the accounting isn't.' He explained that a merger would 'consolidate their ownership, not take more supply off the market.'
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