Tesla's Bitcoin Holdings Remain Steady, but Digital Asset Losses Reach $173 Million

Tesla, led by Elon Musk, reported no change in its bitcoin holdings in the first quarter of 2026, maintaining its stockpile of 11,509 BTC. The company recorded an after-tax impairment loss of $173 million on its digital assets, as disclosed in its first-quarter earnings report. The decline in the value of its bitcoin holdings is attributed to the decrease in bitcoin's price from around $90,000 at the start of the year to approximately $68,000 by the end of March. Despite reporting better-than-expected earnings, Tesla fell short of revenue expectations, with $22.39 billion in revenue for the quarter, slightly below analyst estimates of $22.71 billion. Earnings per share were $0.41, exceeding the consensus forecast of $0.37. Following the earnings report, TSLA stock saw a 4% increase in after-hours trading. Tesla's involvement with bitcoin began in February 2021, when it initially purchased 43,200 BTC for roughly $1.5 billion. The company later sold approximately 10% of its position, or 4,320 BTC, to test market liquidity. By July 2022, Tesla had reduced its bitcoin holdings to 9,720 BTC due to the bear market. In January 2025, the company slightly increased its holdings to 11,509 BTC, where they have remained.