Leading electric car manufacturer Tesla Inc. (TSLA) become the latest big company to invest in bitcoin after the founder and CEO Elon Musk announced the company having bought bitcoin worth $1.5 billion last week.
Records are showing that companies which have invested in cryptocurrency especially bitcon their shares have vastly outperformed on Wall Street in 2021. These companies are listed on the United States financial markets.
Bitcoin has been setting a continuous trend of setting record all-time highs and breaking the records, a trend which seems not to stop anytime soon. The latest record came at February 10 when bitcoin hit a new record high of $48,000.
Tesla which currently has a market capitalization of over $800 billion said it views bitcoin’s emerging credentials as a mainstream financial asset that’s why it was confident investing in the cryptocurrency.
Currently, year to date gains of Tesla’s stock stands at 20% which is higher than the S&P 500 rise of 4%.
Business intelligence company MicroStrategy Incorporated. (MSTR) purchased 71,079 bitcoins in August the bitcoins are now worth over $3 billion, the company has a market value $11.8 billion. This means its bitcoin value represents around 25% of its market capitalization.
Shares of MicroStrategy have increased over 200% since 2021 began.
Stock of fintech company Mogo Inc. (MOGO) have gained over 45% in 2021, the Canada based company invested up to $1.5 million Canadian dollars in bitcon in December.
Mobile payment company Square Inc. (SQ) purchased 4,709 bitcoins for about $50 million in October these bitcoins are now worth over $200 million and shares of the company have registered year to date earnings of 19%.
A cryptocurrency mining company Marathon Patent Group Inc. (MARA) bought 4,900 bitcoins for $150 million in January. The stock of the company is now up 260% since the year began. This week the stock is up over 60%.