Tesla Alami Losses IDR 3 Trillion From Bitcoin Trading Throughout 2022

JAKARTA - According to a filing to the United States Securities and Exchange Commission on January 31, electric vehicle manufacturer Tesla revealed that it had recorded a gross loss of US$204 million (Rp3 trillion) during 2022 for its Bitcoin holdings.

Simultaneously, Tesla recorded a profit of 64 million US dollars (Rp967.3 billion) from converting BTC into fiat currency at various points throughout the year, which resulted in a net loss of 140 million US dollars (Rp2.1 trillion) from cryptocurrency trading activities.

Digital assets are considered infinitely many-lived intangible assets based on applicable accounting rules. Therefore, any decline in their fair value below our recorded value for such assets at any time after its acquisition will require us to acknowledge the cost of decreasing value, while we must not make upward revisions for any market price increase to sales. For any digital asset currently owned or in the future, this cost could have a negative impact on our profitability in a period where such a decline occurs even if the overall market value of these assets increases," Tesla said, quoted by Cointelegraph.

In the first quarter of 2021, Tesla invested $1.5 billion in Bitcoin. At that time, its founder, Elon Musk, announced that the electric vehicle manufacturer would start accepting BTC payments from US-based consumers.

The policy was repealed just months later, as Musk cited the need to "confirm reasonable use of clean energy (~50%) by miners [Bitcoin] with a positive future trend" before the company accepts another means of payment. Tesla reportedly sold 75% of its BTC holdings in the second quarter of 2022.