Benzinga - Aerospace technology firm SpaceX, led by renowned entrepreneur Elon Musk, has reportedly sold all of its Bitcoin (CRYPTO: BTC) holdings and written down their value by a staggering $373 million.
What Happened: According to a report by The Wall Street Journal on August 17, SpaceX recorded $373 million worth of Bitcoin on its balance sheet in 2021 and 2022. However, it has now decided to write down the value of the cryptocurrency and sell its holdings.
The Wall Street Journal claims to have obtained documents related to SpaceX’s financials, which revealed that the company incurred approximately $5.2 billion in total expenses for 2022. This includes expenses related to acquiring property and equipment, as well as research and development costs, totaling $5.4 billion for both 2021 and 2022.
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Why It Matters: This move comes after Musk, who also serves as the CEO of SpaceX, publicly revealed in 2021 that the firm had invested in Bitcoin. This announcement came shortly after Tesla, another company co-founded by Musk, disclosed its plan to purchase $1.5 billion worth of the cryptocurrency.
Musk’s involvement in the crypto space and his endorsement of various tokens, including Dogecoin (CRYPTO: DOGE), have had a significant impact on their market values.
He even temporarily changed Twitter’s logo to feature the iconic DOGE Shiba inu. Since his acquisition of Twitter in October 2022, which he later rebranded as X, Musk has hinted at the possibility of building a comprehensive financial ecosystem on the platform.
SpaceX did not respond to Benzinga's request to comment at press time.
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