Is Incorporating BTC the way forward for most companies?

[Nickbryan10]

Tesla’s first quarter earnings report released on Monday showed that the company sold off 10 per cent of its Bitcoin holdings. It made $272m in proceeds and $101m in profit from Bitcoin.

The car maker made more money from Bitcoin than car sales. Tesla’s profits hit $438m with nearly a quarter of that earning coming in Bitcoin sale.- "punch"

[thesmallgod]

Maybe you mean incorporating blockhain technology. Except you are referring to making bitcoin a payment option. Depending on what the case may be. Blockchain technology is evolving and alot of public and private firm have adopted this technology in solving most of their challenges and keeping up with what is in vogue. With the advent of decentralized finance, it makes financial services more convenient and easy to access.

[DaveF]

As with a lot of businesses with cash on hand it's another investment. Sometimes you get lucky sometimes you don't.

Years ago Southwest Airlines made more money with their fuel futures purchase then they did flying people around.
Now that new IP4 address space is exhausted there are internet providers and other tech companies making more money leasing their address space then they do with the rest of their business.

If BTC had been doing a slow steady climb instead of the quick jump that it did, this and all the other discussions about Tesla holding BTC would not be happening.

-Dave

[cr1776]

Tesla’s first quarter earnings report released on Monday showed that the company sold off 10 per cent of its Bitcoin holdings. It made $272m in proceeds and $101m in profit from Bitcoin.

The car maker made more money from Bitcoin than car sales. Tesla’s profits hit $438m with nearly a quarter of that earning coming in Bitcoin sale.- "punch"

Pretty much anyone who has bought and held (or mined and held) - although the Tesla purchase/sale portion was more of a trade - for any length of time has done great.  So yeah, smart companies are replacing some of their inflationary fiat with bitcoin.  

[wack slacker]

I think Bitcoin will choose to invest rather than choose to pay because not businesses all over the world can accept Bitcoin because regulations are different in each country.
Investing in Bitcoin is risky for any business so I think only large businesses and diverse ecosystems will choose Bitcoin.

[Poker Player]

Well, that's what Saylor is saying: that in the current environment, companies should replace most of their cash for bitcoin and only leave the minimum cash necessari for everyday functioning. whether he is right or wrong, time will tell. But it seems quite logical in view of the massive fiat printing and Bitcoin's price history (as well as its fundamentals).

[hector3115]

It depends on the company, their line of work, and I think that not all companies should use crypto.

[Obito]

If you are talking about payment system or payment option then probably it isn't not yet the time because the adoption isn't that big yet so they don't have any merit adopting early besides occasional purchase with bitcoin but that's about it but it will change when the adoption goes faster and continues to grow and more people adopts it.

[dark1234]

companies that actually use cryptocurrency technology are still not fully used, while as it is said, they are only still within the investment limit, not the open use of digitalized money in the company's system

[big kid]

Well it's a good way but not all companies need it. I think small companies should considers supporting sales with altcoins. At least now i see that as inevitable way of progress.

[elda34b]

They're just here for money. When the bear market hit they'll stop promoting it, then buy it again on the next wave and encourage retails to spend their money for them. That's the cycle, it's how they play the game.

[cryptomaniac_xxx]

At least you should have posted your source, because this is a blatant copy and paste, against the forum rule, and this is a ban-able offense:

Source: https://punchng.com/tesla-makes-more-profit-from-bitcoin-than-car-sales/

Tesla’s first quarter earnings report released on Monday showed that the company sold off 10 per cent of its Bitcoin holdings. It made $272m in proceeds and $101m in profit from Bitcoin.

The car maker made more money from Bitcoin than car sales. Tesla’s profits hit $438m with nearly a quarter of that earning coming in Bitcoin sale.

[TastyChillySauce00]

Depends, by incorporating BTC you could open up to a whole new userbase while also make huge profit from it but doesn't necessarily mean a company should incorporate it to go forward and i'm pretty sure not all company could take the risk of investing in BTC because it could potentially mess up with their company economy since as we all know crypto is high risk high return but a technology company should definitely incorporate it. Investment wise, it's still worrying but technology wise, cryptocurrency is really good for the company.

[dkbit98]

Sure, Tesla and few other companies purchased Bitcoin and everything is nice and happy when Bitcoin is going up in this bullrun but what happens during the bear market when bitcoin price goes down?
Anyone who is in crypto market for few year or longer knows that everyone will start to trashtalk Bitcoin, fud and call it dead again, but that is perfect time for companies to invest and buy more BTC.
I don't expect many companies will decide to buy BTC now but they can still decide to accept it as payment option that will help better adoption, and wait for dips to buy it.

[kryptqnick]

I think it means companies can get a boost with their Bitcoin investments, and then they'd have more resources to manufacture cars or do whatever they specialize in. But it should be kept in mind that Bitcoin is profitable temporarily, and it can always go down. So companies shouldn't go all-in with Bitcoin because this can end badly for them.
I also want to point out that investing in Bitcoin isn't exactly incorporating it IMO because it's not like Bitcoin becomes an integral part of anything the company does. Accepting Bitcoin as payment for their products or allowing employees to be paid in BTC are bigger steps than simply buying BTC and then selling it when the price is higher.

[Darker45]

Tesla incorporated Bitcoin in their company when it started accepting Bitcoin as payment. However, I don't think its sales have significantly increased, if at all, only because they opened such option to their clients. I don't even think they have sold more than a handful of units using Bitcoin as payment.

It was a wise decision because the company has some extra cash laying around. That cash was unproductive, depreciating even. It was better for that cash to be providing passive ROI and Bitcoin was the best option. But what made it a wiser decision was that Tesla was a very influential company that deciding to buy Bitcoin was interpreted as a very bullish signal. For a lot, it was definitely a cue to buy. That propelled the price very quickly.

[cr1776]

Well it's a good way but not all companies need it. I think small companies should considers supporting sales with altcoins. At least now i see that as inevitable way of progress.

Most of the alts are just get rich quick schemes for some people without the security bought by the market value of bitcoin.  There are a few that have a purpose, but aren't as distributed and don't have the security.  I can at least understand why someone might use some of them.  Small companies should do the same thing as big ones:  whatever is best for the owners/shareholders. 

[Kabul]

No necessary. More than 90% of companies do not incorporate bitcoin. They do not see any benefit from integrating bitcoin in their network. On the other hand, Tesla just seize the opportunity and make a quick profit from buying then selling bitcoin. I just want them to focus on producing more car that can change the world. Crypto will reshape the Internet while Tesla make a revolution in the real life

[kojektea]

Tesla’s first quarter earnings report released on Monday showed that the company sold off 10 per cent of its Bitcoin holdings. It made $272m in proceeds and $101m in profit from Bitcoin.

The car maker made more money from Bitcoin than car sales. Tesla’s profits hit $438m with nearly a quarter of that earning coming in Bitcoin sale.- "punch"

Elon Musk has a huge influence on bitcoin it is very natural that in the future technology-based companies will soon follow in Elon Musk footsteps, It's simple they will surely also know how potential a bitcoin is today, We will certainly see bitcoin much loved by many companies in the next few years.

[NelfiNovita]

actually very profitable for companies that store bitcoin because they will benefit very much from bitcoin. at this time we can see an example of a company that has taken advantage of bitcoin, namely the Tesla company, recently they have taken 10% profit from the bitcoin they have, they are very lucky because they have bought bitcoin.
if other companies also buy bitcoin they will definitely benefit like the Tesla company, besides that the price of bitcoin will also be even more expensive because of the very large purchases of bitcoin on the crypto market.