Tesla has announced a $600 million gain from its Bitcoin holdings in the fourth quarter of 2024, thanks to new accounting standards. This data is derived from Tesla’s Q4 earnings report released on January 29, 2025.

Key Highlights:

• Tesla’s total Bitcoin valuation now exceeds $1 billion, up from $184 million in earlier quarters.
• The company currently holds 9,720 BTC, with an average purchase price of $34,722, yielding a profit of 203.03%.

FASB Rule Change Drives Gains

This substantial gain can be attributed to a recent change in regulations by the Financial Accounting Standards Board (FASB), which allows firms to report cryptocurrency assets at market value rather than only reflecting losses. Handling crypto gains more accurately also resulted in a GAAP income of $2.3 billion in Q4, although overall revenue of $25.71 billion fell short of Wall Street expectations.

Stock Performance

Following the earnings announcement, Tesla’s stock (TSLA) saw a drop of 2.26%, but rallied to $406.36 after hours, marking a year-over-year increase of 103.79%.

Conclusion

Tesla continues to integrate Bitcoin into its financial strategy, following moves made by companies like MicroStrategy. This trend of businesses adopting digital currencies is becoming increasingly common in the corporate sector.