PALO ALTO – Tesla (NASDAQ: TSLA) announced this week that it has invested US$1.5 billion in Bitcoin reserves; triggering its largest price gain. This move makes Tesla the biggest company to back the controversial cryptocurrency to date. The company has also allowed the use of Bitcoin as a form of payment for its electric cars.
Bitcoin has seen continuous growth over the last six months. Tesla follows companies such as PayPal (NASDAQ: PYPL) and Square Inc. (NYSE: SQ) which announced the integration and service offering in October and Visa (NYSE: V) which made the announcement earlier this month.
This trend sees global institutional acceptance of Bitcoin and other cryptocurrencies. Over the years, Bitcoin has gained acceptance by digital natives, regulators, and retailers.