Elon Musk bets on "digital gold": Bitcoin retraces 23%, Tesla and SpaceX still choose to hold firm

On January 29, news reports indicate that despite Bitcoin prices retreating approximately 23% from their highs, Tesla and SpaceX, both under Elon Musk, have not reduced their Bitcoin holdings nor increased their positions during Q4 2025. They continue to view Bitcoin as a long-term strategic reserve asset. This stance is particularly notable amid a broader trend of companies reducing their crypto exposure.

Tesla disclosed in its Q4 2025 and full-year financial reports that it held 11,509 Bitcoins, unchanged from previous periods. With the price dropping from about $114,000 to the $88,000–$89,000 range, the company recorded an after-tax accounting loss of approximately $239 million. However, management considers this a non-cash accounting impact and highlighted that the energy business’s profit margins and earnings per share exceeded expectations, offsetting this pressure.

This attitude contrasts sharply with the significant reduction in holdings during the 2022 bear market lows. Today, Tesla positions Bitcoin as a long-term asset on its balance sheet rather than a short-term trading instrument. Compared to its over $44 billion in cash reserves, Bitcoin holdings are small but signal recognition of scarcity and long-term value.

SpaceX’s strategy is similarly prudent. The company holds approximately 8,200 to 8,285 Bitcoins and has not engaged in large-scale sales over the past three years, only internal transfers within wallets. At current prices, its Bitcoin market value is about $730 million, making it one of the more prominent Bitcoin exposures among non-crypto pure companies.

In a context where many publicly listed companies are choosing to exit or reduce their digital asset allocations in 2025, the steadfastness of Musk’s enterprises sends a different signal: Bitcoin is integrated into their long-term financial structure, used to hedge against inflation, currency fluctuations, and macroeconomic uncertainties. Under accounting standards, impairments do not represent real cash flow losses; once prices recover, unrealized gains will quickly be restored.

As Tesla accelerates its focus on artificial intelligence, robotics, and energy, SpaceX’s valuation continues to rise. Although Bitcoin’s proportion within their overall assets is not high, it symbolizes a forward-looking corporate financial perspective. For them, this “digital gold” is not a gamble but a strategic asset aimed at the future.