Tesla Inc (TSLA.O) Chief Executive Officer Elon Musk tweeted on Sunday that the electric carmaker will resume allowing bitcoin transactions when miners who verify transactions use more renewable energy.
“When there’s confirmation of reasonable (~50%) clean energy usage by miners with positive future trend, Tesla will resume allowing Bitcoin transactions,” he said in a tweet.
Bitcoin rose 5.1% to $37,360.63 at 1810 GMT (2:10 p.m. ET) on Sunday, adding $1,817.87 to its previous close, after Musk’s tweet.
TESLA’S MODEL S PLAID DEBUTS TO JUST 25 CARS ROLLING OUT
SpaceX owner and Tesla CEO Elon Musk arrives on the red carpet for the Axel Springer media award, in Berlin, Germany on Dec. 1, 2020. (AP Photo/Britta Pedersen, Pool, File)
Musk also said that Tesla sold about 10% of its holdings to confirm bitcoin could be liquidated easily without moving the market.
He announced in May that Tesla would no longer accept bitcoin for car purchases, citing long-brewing environmental concerns for a swift reversal in the company’s position on the cryptocurrency. Bitcoin fell more than 10% after his tweet.
The billionaire said that he believed cryptocurrency has a promising future, but it cannot be at great cost to the environment.