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Will Twitter follow Tesla and add bitcoin to the balance sheet?

Published 10/02/2021, 14:59
Updated 10/02/2021, 15:00
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By Samuel Indyk

Investing.com – Twitter CFO Ned Segal said the company has had discussions on whether they need to have Bitcoin on the balance sheet. Speaking to CNBC, Segal said, “We’ve done a lot of the upfront thinking to consider how we might pay employees should they ask to be paid in bitcoin, how we might pay a vendor if they asked to be paid in bitcoin and whether we need to have bitcoin on the balance sheet.”

The Twitter Inc (NYSE:TWTR) CFO did note that they have not made any changes yet. Segal added that a catalyst for any potential changes would be if people were asking to transact with the company in bitcoin.

It is worth noting that Twitter CEO and co-founder Jack Dorsey is also the CEO of Square Inc (NYSE:SQ). In October, Square announced they had purchased 4,709 bitcoins at an average price of $10,617 per coin, taking its total investment to just shy of $50mln. “We believe that bitcoin has the potential to be a more ubiquitous currency in the future,” said Square’s CFO, Amrita Ahuja, at the time of the announcement.

Tesla investment

The news would come as another welcome boost for the cryptocurrency after it jumped to record highs earlier in the week after Tesla Inc (NASDAQ:TSLA) disclosed a $1.5bln purchase. After that announcement, bitcoin surged to its highest level above $48,000 but currently trade just off the high around $45,000.

One of the big talking points after the Tesla announcement was would other companies follow suit? The fact that Twitter has discussed it suggests that it might.

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