Home > Tesla shares dip as Musk’s followers back stake sale

Tesla shares dip as Musk’s followers back stake sale

The shares of Tesla are down by less than 1% during Monday's pre-trading session after Elon Musk's followers recommend selling some of his stakes in the company.

The shares of NASDAQ-listed Tesla Inc. are down by 0.64% during Monday's pre-trading session. This latest development comes as CEO Elon Musk's followers back him selling some of his stakes in the electric vehicle manufacturer.

Tesla is one of the leading electric vehicle manufacturers in the world. It has set the trend in the EV sector and continues to lead the way. Headed by Elon Musk, the Tesla CEO holds a substantial stake in the electric vehicle company.

In a Twitter survey over the weekend, Musk asked if he should sell 10% of his stake in Tesla. The Twitter followers voted massively in favour of Musk selling a certain percentage of his stake in the company. As a result, TSLA's price has dropped by 0.64% so far today.

The survey was caused by a recent comment by the United States Treasury Secretary Janet Yellen, who pointed out that the government needs to tax unrealised gains as it continues to target the exceptionally rich taxpayers.

If that happens, Musk would need to raise as much as $23 billion to offset some of his taxes, and one of the ways to raise funds is by selling some of his shares. Musk and his companies, Tesla and SpaceX, hold substantial investments in cryptocurrencies such as Bitcoin (BTC), Ether (ETH) and Dogecoin (DOGE).

Tesla's entry into the cryptocurrency space was very popular as it bought $1.5 billion worth of BTC roughly a year ago. The company added Bitcoin as a payment option at the time but later discontinued it due to concerns of massive energy usage in mining bitcoins.

However, Musk admitted a few months ago that Tesla still holds bitcoins in its balance sheet. Tesla's BTC holdings would have increased in value by now, with the leading cryptocurrency currently trading above the $66k level.

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