If Elon Musk Really Sells 10% Of His Tesla Shares, Will He Buy Crypto?
The CEO of Tesla Elon Musk has shook the finance world again. He asked his Twitter followers if he should sell 10% or around $25 billion of his company’s stocks as a result of potentially new tax requirements on unrealized gains to be implemented in the U.S.
As the crypto industry grows, so grows the governments and investors interest in it around the world. More and more countries are starting to accept crypto as a mode of payment. Lot of the interest is due to its decentralized nature and the sound technology behind it. Elon Musk is one of the prominent people in the world that believes in the power of cryptocurrency.
Musk made a Twitter poll asking his followers about their opinion in selling his 10% of his Tesla stock shares, as a result of potentially new tax requirements on unrealized gains to be introduced in the United States.
Much is made lately of unrealized gains being a means of tax avoidance, so I propose selling 10% of my Tesla stock.
So far tweet has received over 51K comments from Bitcoin and crypto investors; some asking Musk to reinstate BTC payment for the company’s products, others celebrating the potential attention that such massive sell could receive from U.S. regulators as a “bullish” sign for the crypto market.
Bitcoin trader and market analyst Anthony “Pomp” Pompliano replied:
“If you sell $20B+ of stock, the government will be able to fund themselves for a few minutes with the tax payment you’ll make. They’ll celebrate like you balanced the budget though.”
Majority of the replies suggested the Tesla CEO to put allocate more money to either into BTC or their favorite crypto project. Speculating about this potential Bitcoin purchase, financial analyst Kevin Paffrath pointed out that Musk’s brother sold over $100 million of his Tesla stock last Friday, November 5th.
Elon Musk's brother sold over $108 MILLION in $TSLA stock Friday, the day before @elonmusk asks Twitter if he should liquidate over $25 BILLION in $TSLA stock solely to pay taxes & appease Twitter warriors (I doubt the reason by the way; Elon has a plan for the $). Maybe $BTC ? pic.twitter.com/6k0WCb7plc
Paffrath wondered if Musk’s brother was notified about the poll and questioned the executive’s motives to cash out $25 billion of his company stock. To pay taxes or to please his followers, both seem uncharacteristic of Musk.
