Key Highlights:

• Tesla’s bitcoin valuation has increased significantly, now valued at $1.076 billion, from $184 million previously.
• The company holds 9,720 BTC, making it the sixth-largest publicly traded company with bitcoin on its balance sheet.
• Following this adjustment, Tesla recorded a $600 million gain on its digital assets, contributing to an overall GAAP income of $2.3 billion in the fourth quarter.

Elon Musk’s Tesla (TSLA) has taken advantage of a new accounting rule that allows quarterly marking to market for digital assets, influencing its reported earnings positively. As the company moves to adapt to the Financial Accounting Standards Board (FASB) regulations, it stands to benefit from this strategic adjustment in an evolving market landscape.

For more information, you can read the fourth quarter earnings report.