Tesla will most likely resume accepting bitcoin as a form of payment once it does its due diligence on the amount of renewable energy used to mine the currency, the founder and boss of the electric car maker, Elon Musk , said.
Musk caused the price of bitcoin to drop in May when he said that Tesla would stop accepting cryptocurrency for payment because the so-called coin mining used too much electricity generated by fossil fuels.
But his comments at the B Word virtual conference on Wednesday boosted bitcoin by 8% to $ 32,160.16, while its cryptocurrency rival ether jumped 11.6% to $ 1,993.36.
"I wanted a little more due diligence to confirm that the percentage of renewable energy use is most likely equal to or greater than 50%, and that there is a tendency to increase this number, and if so Tesla would start accepting bitcoin again, ”Musk said.
" The answer is most likely that Tesla would start accepting bitcoin again. "
The use of bitcoin to buy Tesla's electric vehicles had highlighted a dichotomy between Musk's reputation as an environmentalist and the use of his popularity and his stature as one of the richest people in the world to support cryptocurrencies.
Some Tesla investors, as well as environmentalists, have been increasingly critical of how bitcoin is "mined" using large amounts of electricity generated from fossil fuels.
However, more and more digital currency miners are trying to use renewable energy in order tour mitigating impact on the environment.
"Tesla 's mission is to accelerate the advent of sustainable energy. We cannot be the company that does this and fail to do proper due diligence when it comes to bitcoin power consumption, ”Musk said.
Musk added that he personally owned bitcoin., ethereum and dogecoin, aside from the bitcoin that Tesla and SpaceX owned.
" I could pump, but I'm not emptying "said Musk. " I certainly don't believe in increasing the price and selling ... I would like to see bitcoin succeed. "
Tesla shares fell 0.8% to $ 655.30 in extended trading.