Musk Merger Put $1.7B Bitcoin Trove in Focus

Musk merger consolidates $1.7B Bitcoin treasury, creating major corporate crypto holding

  • Elon Musk‘s potential corporate merger could consolidate nearly 20,000 Bitcoin, worth approximately $1.7 billion, making it the world’s seventh-largest corporate BTC holding.
  • A merger would combine the different accounting treatments of SpaceX’s private holdings and Tesla‘s public, earnings-sensitive bitcoin position.
  • While no bitcoin sales are planned as part of the talks, the concentration of such a large corporate stake refocuses attention on bitcoin as a balance-sheet asset.

Elon Musk’s preliminary consideration of a potential merger between SpaceX, Tesla, or xAI according to reports, has cast a spotlight on their combined, massive bitcoin treasury. Consequently, the discussion highlights how the cryptocurrency has become quietly embedded within some of the world’s most valuable technology firms.

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Together, SpaceX and Tesla control nearly 20,000 bitcoin, a position worth roughly $1.7 billion. This would make the consolidated entity the world’s seventh-largest BTC holder, just behind CoinDesk-owner Bullish.

SpaceX, which is still private, controls about 8,285 BTC, worth roughly $680 million. Meanwhile, public company Tesla holds 11,509 BTC, valued near $1 billion, and reported no changes to that position last quarter.

Tesla did, however, book a $239 million after-tax loss on its digital assets last quarter as Bitcoin’s price slid. However, any merger would not alter bitcoin’s core market fundamentals.

Such a deal would reshape how this substantial corporate position is governed and accounted for. Importantly, Tesla’s public status subjects it to fair-value accounting rules, making earnings volatile with bitcoin’s price swings.

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This accounting difference matters as SpaceX weighs a possible IPO that could value it near $1.5 trillion. Crypto exposure, even if passive, becomes part of the due diligence process for large institutional investors.

Tesla’s past dealings with bitcoin still loom large, having sold a large portion near bear-market lows in 2022. Consequently, the episode pinned its reputation as a high-profile but inconsistent corporate holder.

Neither company has signaled plans to buy or sell bitcoin as part of the merger discussions. Still, corporate concentration matters at the margins for bitcoin’s narrative as a balance-sheet asset.

Whether SpaceX merges with Tesla, pairs with xAI, or stays independent, the talks keep investors watching. Even when bitcoin isn’t the headline, it remains on the balance sheet.

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