Elon Musk, the billionaire chief executive of electric vehicle producer Tesla, said that the growing Bitcoin cryptocurrency is on the verge of breaking into conventional finance. Last week, Elon Musk introduced #bitcoin to his Twitter profile, helping drive the price of the digital currency up by as much as 20 percent.
Musk said he likes Bitcoin in a debate on the famous Clubhouse audio chat app.
During a wide-ranging interview on Clubhouse that also included manned missions to Mars and Musk’s implantable brain-machine interface Neuralink, Musk, who announced last month that he is open to being compensated in cryptocurrency, made the remarks.
Musk’s Thoughts on Bitcoin, Among Other Things
“I am a supporter of bitcoin. I am late to the party but a supporter. I think bitcoin is on the verge of getting broad acceptance by conventional finance people.”
“I do at this point think bitcoin is a good thing,” Musk said on the live stream.
Comments by Musk set him at odds with many global central bankers and regulators who have increasingly warned that bitcoin is used mainly for illegal purposes and money laundering.
Musk said that in the past, people have attempted to get him involved in Bitcoin, dating back to 2013, when Bitcoin was worth a fraction of what it is today, traded for less than $100.
In the wider conversation, Musk addressed, among other things, memes, Mars, his companies, and the vaccinations. Vladimir Tenev, co-founder of the Robinhood online stock broker software, which is under fire for banning retail investors from buying GameStop stock, was also interviewed.
Since institutional investors banded together to purchase the stock of the U.S. video game store, leaving hedge funds running to cover lost bets, GameStop stock grew some 400 percent in the last week.
Tenev denied the industry rumor that Robinhood had been forced to block retail investors by Citadel Securities – the market-making arm of billionaire hedge-fund founder Ken Griffin.
Elon Musk’s Other Comments on Crypto
Last week, Musk, whose tweets regarding bitcoin and joke cryptocurrency competitor Dogecoin frequently drive the stock, sent the price of bitcoin sharply higher when he offered bitcoin long-awaited implicit support since constraints were imposed on trading company shares that have become a battlefield for bullish retail traders coordinated via the WallStreetBets platform of Reddit and Wall Street hedge funds.
Musk’s remarks did not heavily move the cryptocurrency markets, with Bitcoin and Dogecoin actually declining marginally shortly after he talked.
In the last 24 hours, Dogecoin was already up 40 percent, after a major slump over the weekend.
In the span of last year, Bitcoin more than quadrupled in price. At the beginning of 2021, it then reached a fresh all-time peak of almost $42,000. The digital coin has received a boost from increased institutional interest and the belief that it is a gold-like safe-haven asset, bullish investors claim.
How do you feel about Elon Musk’s recent remarks?