Tesla Suspends Crypto Operations, According to Quarterly Financial Report

Tesla’s latest quarterly financial report has revealed a continued pause in its cryptocurrency activities. The data indicates that the electric vehicle manufacturer did not engage in any buying or selling of Bitcoin during the third quarter of 2023. This marks the fifth consecutive quarter in which Tesla has abstained from active Bitcoin transactions. By the end of Q3 2023, the company held approximately 9,720 Bitcoins, which had a market valuation of around $275.6 million.

Tesla’s hesitance towards Bitcoin transactions coincides with a notable shift in its broader business strategies. The report highlighted the company’s primary goals for the third quarter, which include reducing costs per vehicle, maximizing delivery volumes, and maintaining a strong commitment to investments in artificial intelligence and growth initiatives. Interestingly, the cost of goods sold per vehicle decreased to about $37,500 during this quarter.

In response to higher production costs associated with newer manufacturing units, Tesla took proactive steps by initiating upgrades in Q3 to further lower unit costs. The report emphasized that the company believes industry leadership is intrinsically linked to cost leadership, particularly in the highly competitive electric vehicle sector.

Additionally, in the current environment of rising interest rates, Tesla’s strategy remains clear. The company is focused on increasing investments in research and development, as well as capital expenditures to support future growth. At the same time, Tesla is committed to maintaining a positive free cash flow, which reached $2.3 billion year-to-date. This financial stability has strengthened the company’s cash position and overall resilience.

A notable highlight from Tesla’s quarterly update was its significant emphasis on artificial intelligence. The company reported a twofold increase in its AI training compute, which is crucial for advancing initiatives such as the Optimus robot.