Elon Musk Tesla confirms its 11,509 BTC holdings remain intact after wallet transfers for security, while reporting strong Q3 growth.

Tesla has confirmed that its Bitcoin holdings remain intact, despite recent wallet movements that sparked speculation within the cryptocurrency community. As per Arkham Intelligence, the firm has 11,509 BTC, with a worth of $765.22 million after transferring the funds to new wallets.

Tesla Bitcoin Reserve Unchanged In Q3 2024

In its Q3 earnings report released on Wednesday, Tesla clarified that it has not sold any of its Bitcoin, thus dispelling the rumors that the recent wallet activity was a sale. This clarification comes after Tesla moved 11,509 BTC to different wallets last week which is about $776 million at that time.

At first, this action led to speculations on whether the company was in the process of offloading the cryptocurrency.

According to Arkham Intelligence, a blockchain analytics firm, the wallet transfers were nothing more than “wallet rotations” where the assets were moved to new wallets for security reasons. However, Tesla still owns the Bitcoin, and the current distribution of the digital currency is split across seven wallets with each holding between 1,100 and 2,200 BTC.

Opting For Legacy Bitcoin Addresses

A notable aspect of the recent transfers is that Tesla moved its Bitcoin to legacy P2PKH (Pay-to-Public-Key-Hash) addresses rather than adopting more modern address formats such as P2SH (Pay-to-Script-Hash) or Bech32 (SegWit). 

These legacy addresses are less common in contemporary transactions, raising curiosity within the crypto community about the reasoning behind Tesla’s choice.

Arkham Intelligence also confirmed that test transactions were done on all the receiving wallets and only six of the seven wallets are now holding round figure amounts of Bitcoin. So far, no further movement of the funds has been seen, and the BTCs owned by Tesla have not been moved since the transfers.

Tesla’s Q3 Performance Shows Strong Growth

Besides the confirmation of its Bitcoin investment, Tesla posted impressive financial results for the third quarter of 2024. The company report also revealed better than expected profit margin due to increase in vehicle deliveries in the current quarter as well as compared to the same quarter of the last year. In a statement the company noted,

“We delivered strong results in Q3 with growth in vehicle deliveries, resulting in record third-quarter volumes.”

The company also saw a significant jump in its regulatory credit revenues, which is the second-highest for this segment of the business. The company still plans for a moderate increase in vehicle deliveries for the rest of the year, providing a positive outlook to investors, and the shares are up 5% in after-hours trading.

In addition to Tesla, SpaceX—another company led by Elon Musk—has also accumulated significant Bitcoin reserves. Arkham Intelligence estimates that SpaceX holds around $550 million worth of Bitcoin, further indicating Musk’s continued interest in the cryptocurrency sector.