Elon Musk is quite vocal about cryptocurrencies at events and especially on Twitter. Considering he has invested heavily in crypto and is one of the richest people in the world, his views seem to be boosting the crypto market.
When he started tweeting the pictures of his Shiba Inu puppy, investors thought he was alluding to owning the crypto Shiba Inu. As a result, the price of Shiba Inu rose after his tweets.
However, he later revealed that he does not own Shiba Inu and has only invested in three cryptocurrencies. What does Elon Musk’s crypto portfolio look like? Here’s a look at the cryptocurrencies he owns.
Which cryptocurrencies does Elon Musk own?
At the June 2021 B Word conference, Elon Musk said he supports Bitcoin. He also revealed that Tesla may start accepting payments in Bitcoin again. The CEO of SpaceX and Tesla went on to say that Bitcoin can be used for economic empowerment.
As revealed in his tweets and with confirmation at the conference, Elon Musk revealed that he owns three cryptocurrencies:
Bitcoin Ethereum Dogecoin
Musk Believes in the Future of Crypto
At the conference, he went on to say that he has more Bitcoin than Dogecoin and Ethereum. The reason behind this is his firm belief in the currency. He has no intention of selling his Bitcoin holdings as he does not believe in selling the crypto when the price is high.
He stressed that he wants to see Bitcoin succeed. It is clear from his views on Bitcoin that Elon Musk believes in the cryptocurrency’s long-term potential.
While Musk’s interest in Ethereum and Bitcoin is valid due to the influence and feasibility of cryptos in the DeFi space, his Dogecoin investment came as a surprise to many. He has even advocated for Dogecoin, a meme currency, which makes him different from other investors who don’t pay heed to meme coins.
SpaceX employees own Doge
Musk said he invested in Doge because it resembles the people’s crypto. Speaking to people at SpaceX and Tesla, he found that most of them own Doge. He said these people are neither Silicon Valley technologists nor financial experts. However, since they supported Doge, it made him invest in the currency as well.
Another reason Musk gave for investing in Doge is that he likes memes and dogs. He said it would be an entertaining and ironic outcome if a cryptocurrency that started out as a meme to mock cryptocurrencies became the market leader.
Here’s a closer look at Musk’s relationship with each of the three cryptocurrencies he owns.
Overall, Musk’s relationship with Bitcoin was somewhat complicated.
Tesla and Bitcoin
In February 2021, Musk announced that Tesla had bought Bitcoin worth $1.5 billion. The company also announced that it would start accepting Bitcoin as a payment method. The news sparked a surge in the rise of Bitcoin and other cryptocurrencies.
In March, Elon Musk announced that Tesla would accept Bitcoin as a payment method. In April, Bitcoin hit its all-time high of $64,863.10.
Later in May, Musk shocked Bitcoin enthusiasts when he backed off on his decision to accept Bitcoin as a payment method for Tesla due to environmental concerns. His announcement, coupled with other factors, led to a drop in the price of Bitcoin.
A few days later, the price of Bitcoin fell even further when a Twitter conversation caused a misunderstanding. One user tweeted that they would not blame Musk for dumping his Bitcoin given the price drop. Musk responded to this tweet with “Indeed”, leading investors to believe he was planning to sell his Bitcoin.
However, the next day, the billionaire reassured investors that Tesla had no intention of selling its Bitcoin.
While Musk believes in Bitcoin’s potential, the billionaire is concerned about the cryptocurrency’s environmental impact. His concerns are justified, as Bitcoin’s carbon footprint is comparable to the carbon footprint of all of Uzbekistan.
In addition, the currency’s electricity consumption is comparable to Thailand’s total energy consumption.
Since he occasionally tweets about Dogecoin, Elon Musk has almost become the public face of the currency. He has been tracking Dogecoin since the currency’s release. In one of his Twitter posts, he said that Dogecoin might just be his currency of choice since “It’s pretty cool”.
In 2020, his tweets significantly affected Dogecoin’s prices. The most significant effect, however, was seen during Musk’s performance as the host of Saturday Night Live, where he referred to himself as the “Dogefather.”
In one of the show segments, Musk called the currency a “buzz” and his statement caused the price of the coin to fall before then.
Dogecoin is a better option for daily transactions
In a recent interview. Elon Musk said that Dogecoin is a better option than Bitcoin when it comes to day-to-day transactions. He said Bitcoin is not a good alternative to transaction currency, while Dogecoin is more suitable for transactions.
He also announced that Tesla would be releasing some merch that could be bought with Doge. Musk’s announcement increased the price of Dogecoin by 23%.
In April 2019, Elon Musk tweeted, “Ethereum.” His one-word tweet boosted investor interest in the cryptocurrency. Moreover, it started an online conversation between Ethereum co-founder Vitalik Buterin and Elon Musk.
Later in the year, he responded to William Shatner’s tweet by saying that he is not building anything on Ethereum. He went on to say that he is not against or for Ethereum. He just doesn’t use the currency, nor does he own it.
However, it now appears that he owns the currency as he said it is one of the three currencies he has invested in.
How will this crypto relationship with Elon Musk develop further? Musk’s tweets and time will tell.
To take off
While Elon Musk’s tweets play a role in driving the crypto market, don’t base your investments on how an executive or influencer tweets about a cryptocurrency. Do your research and only invest in cryptocurrencies that have potential. In 2017, the SEC warned that it is not a good idea to invest in something because a famous person says that a certain service or product is a good investment.
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About the author
Scott Jeffries is a seasoned technology professional based in Florida. He writes on the topics of business, technology, digital marketing and personal finance.
After receiving his bachelor’s degree in Management Information Systems with a minor in Business, Scott spent 15 years in technology. He has helped Fortune 100 startups bring software products to life. When he’s not writing or building software, Scott can be found reading or spending time outside with his kids.