Tesla's Bitcoin Holdings Remain Steady, Incurs $173 Million Loss on Digital Assets

In the first quarter of 2026, Tesla, led by Elon Musk, maintained its bitcoin holdings at 11,509 BTC, with each bitcoin valued at $76,707.42. Despite this, the company recorded a post-tax impairment loss of $173 million on its digital assets, as per its Q1 earnings report. The decline in bitcoin's value, from around $90,000 at the start of the year to roughly $68,000 by the end of March, contributed to this loss. Tesla's earnings surpassed expectations, but its revenue fell short, with $22.39 billion reported, slightly below the estimated $22.71 billion. The company's earnings per share were $0.41, exceeding the 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 purchased 43,200 BTC for approximately $1.5 billion. The company later sold around 10% of its holdings to test market liquidity. By July 2022, Tesla had reduced its bitcoin position 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 unchanged.