Elon Musk’s Two Companies: Divergent Paths on Bitcoin. Who Made the Smarter Move?
Tesla and SpaceX both bet on Bitcoin, but one company held firm while the other cashed out early. The gap between those two choices has since grown into a multi-billion dollar question about risk, timing, and who really understood the…
Elon Musk oversees both Tesla (NASDAQ: TSLA | TSLA Price Prediction) and SpaceX (NASDAQ: SPCX), and their differing Bitcoin (CRYPTO: BTC) strategies tell two very different stories. In 2022, Tesla sold about 75% of its Bitcoin near $29,000, while SpaceX held onto 18,712 Bitcoin right into its Nasdaq debut on June 12, 2026.
As of October 8, Bitcoin’s price has surged to around $83,000—almost three times the price Tesla sold at. This raises the question: which company made the better Bitcoin decision?
Why Tesla Sold Most of Its Bitcoin in 2022
In early 2021, Tesla invested $1.5 billion in Bitcoin. However, by 2022, COVID lockdowns in China impacted its operations, prompting the company to sell 75% of its Bitcoin for $936 million. Musk stated the goal was to “maximize our cash position.”
For businesses, a corporate treasury is critical for covering expenses like payroll, supplies, and factory operations. Because Bitcoin is such a volatile asset, it could greatly affect reported earnings, making Tesla’s decision to convert most of its Bitcoin into cash a sensible strategy under the circumstances.
Despite this significant sale, Tesla retained some Bitcoin. According to its quarterly report as of March 31, 2026, the company still holds 11,509 Bitcoin, which it bought for $386 million and is currently valued at around $955 million.
SpaceX Held 18,712 Bitcoin Into Its IPO
In contrast, SpaceX took a different approach. The company reported holding 18,712 Bitcoin at a cost of $661 million in its IPO filing. SpaceX maintained its Bitcoin position when its shares began trading in June 2026.
With Bitcoin currently valued at about $83,000, SpaceX’s holding is now worth approximately $1.55 billion, or about 2.3 times its initial investment. This makes SpaceX the ninth-largest public holder of Bitcoin, ahead of Tesla, which ranks twelfth.
Additionally, SpaceX shareholders benefit from Bitcoin exposure bundled with the company’s broader operations. Unlike buying Bitcoin directly, investors don’t get to choose how to mix their investment.
Tesla’s Bitcoin Sale Cost It About $1.7 Billion in Hindsight
Since Tesla sold its Bitcoin near $29,000, the cryptocurrency’s value has jumped by approximately 186%. The coins Tesla converted into $936 million would now be worth around $2.7 billion, meaning the company potentially missed out on about $1.7 billion.
However, this assessment relies on hindsight. Bitcoin’s price dipped below $16,000 in November 2022, shortly after Tesla’s sale. By selling when it did, Tesla avoided significant losses while its factories were still recovering. The company’s strategy reflects the careful risk management that any business holding Bitcoin must consider.
Tesla or SpaceX: Which Made the Smarter Bitcoin Move?
In hindsight, SpaceX emerged with the stronger outcome. The company has more than doubled its investment by holding onto its 18,712 Bitcoin, while Tesla’s decision to sell cost it about $1.7 billion in potential gains. Still, Tesla’s approach was reasonable given its need for cash during the Shanghai lockdowns, and it retained a significant amount of Bitcoin that has also appreciated in value.
Both companies still have Bitcoin on their balance sheets, so the comparison between their decisions may change. Future quarterly reports could alter the landscape—if either company decides to sell or if Bitcoin’s price dips closer to $29,000, the difference in their decisions could narrow or even reverse.
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Sam Daodu is a crypto analyst and the editor of 24/7 Wall St.'s Crypto Desk, where he covers Bitcoin, XRP, Ethereum, Solana and the altcoins investors search for most. His work focuses on price levels, spot ETF flows, on-chain data and the regulatory decisions that move crypto markets, written so a first-time buyer and a seasoned trader can both use it.
Sam has written about crypto professionally since 2019 and has published more than 2,000 articles. Before joining 24/7 Wall St., he wrote for crypto media outlets and Web3 companies and ghostwrote for crypto founders and token launches. His analysis is syndicated on Yahoo Finance, MSN and AOL and has been cited by other crypto news sites. He also founded MacLabs Marketing, a content and personal branding agency for crypto founders and executives.
When he isn't reading charts, Sam is usually at the gym or watching One Piece, a series he maintains has better tokenomics than most altcoins.
