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A mild recession could last another 18 months, and I…

Tesla Sells Bitcoin (BTC) Worth IDR 14 Trillion...

Elon Musk, the founder of Tesla, said that a mild recession in the United States (US) could occur in 18 months and that inflation is expected to reach its peak. Previously, Tesla announced that it had sold their Bitcoin (BTC) for US$936 million or equivalent IDR 14 trillion.

He said this at the shareholders’ meeting on Thursday (04/08/2022) in response to investors’ questions about the use of the company’s spending resources in the coming years, including his view of the outlook for the domestic and global economy.

Elon Musk responded that the US is past the peak of high inflation and the possibility of a mild recession to follow in about 18 months.

As a CEO, the argument is based on the price of raw materials that the company buys in the process of manufacturing electric vehicles.

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We have some data on the predicted cost of raw materials for making cars, where we bought them months before they were needed, he said. CNBC.

In the second quarter of 2022, the Russian war in Ukraine and the ongoing Covid pandemic in China disrupted the operation of the Tesla factory in Shanghai. Ultimately, this exacerbates supply chain disruptions, parts shortages and labor issues throughout the auto industry.

When Musk said it was possible to do it redeem against Tesla stock using company funds.

Tesla aims to produce 20 million cars a year by 2030 with a dozen factories. Each factory can produce 1.5 million to 2 million units per year.

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Tesla currently operates an assembly plant in Shanghai; Fremont, California; Austin, Texas; and outside Berlin, Germany. They also manufacture batteries at a plant in Sparks, Nevada, which they jointly operate with Panasonic.

Elon Musk remains focused on Bitcoin

Musk, who is known as a defender of Bitcoin and cryptocurrencies Dogecoinpreviously asserted that personally and as company leaders, they still pay enough attention to BTC as an asset on their balance sheet, despite selling 75 percent of their ownership of the crypto asset.

On Thursday (7/21/2022), Tesla announced that it had sold its Bitcoin (BTC) for US$936 million or equivalent IDR 14 trillion (current exchange rate). This was noted in Tesla’s earnings report during the second quarter of 2022. The decision was made after the company discovered a related issue supply chain in their factory in China which has an impact on the financial situation.

“Cash, cash equivalents and short-term marketable securities at the end of the quarter increased sequentially by $902 million to $18.9 billion in the second quarter, driven primarily by free cash flow of $621 million, partially offset by debt repayments of $621 million. 402 million USD. Starting at the end of Q2, we converted approximately 75 percent of our Bitcoin purchases into currency fiat. The conversion in the second quarter added US$936 million in cash to our balance sheet,” smention Tesla in the earnings report document. [ps]

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