Tesla and SpaceX Could Combine 30,221 BTC in a Merger Without Buying Any Bitcoin

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Tesla and SpaceX Could Combine 30,221 BTC in a Merger Without Buying Any Bitcoin
PrimeXBT Editorial Team
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A possible Tesla-SpaceX merger could put 30,221 BTC under one corporate roof. Trader Scott Melker says combining the balances creates no new demand for Bitcoin, since neither company has signaled a purchase or sale.

Tesla and SpaceX together hold 30,221 BTC, worth around $2.5 billion at current prices. A merger would combine those holdings without either company buying a coin.

SpaceX disclosed 18,712 BTC in its June IPO filing. Tesla reported this week that it still holds 11,509 BTC. If the two merge, their combined stash would rank sixth among public companies, ahead of Coinbase and Bullish but behind MARA Holdings.

Musk says a merger has no terms yet

Elon Musk discussed the proposed merger during SpaceX's earnings call on Tuesday. He said both companies had formed special committees of independent directors to study the idea. Musk thinks a merger would make sense, but there is no deal yet.

The committees have not agreed on terms, and shareholders would still need to approve. Tesla needs backing from holders of 50% of all shares, which Musk called a high hurdle.

Tesla has sold Bitcoin before

Tesla has not always held on to its coins. It first disclosed a $1.5 billion purchase in February 2021, saying the move would diversify its cash reserves. Two months later, it sold 10% of its holdings for $272 million.

Then came a bigger sale in July 2022, when Tesla converted 75% of its remaining Bitcoin into fiat currency and raised $936 million. Musk said the company wanted to preserve cash while uncertainty over China's COVID-19 lockdowns weighed on its outlook.

Melker sees no new demand

Melker argued that a merger would create no new demand for Bitcoin, since the coins already sit on those balance sheets. According to Melker: "adding the balances together is not itself a bullish flow."

He added that he would watch what management wants to do with the combined holdings if the deal moves forward.

Source: CryptoPotato

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