Tesla Inc said on Monday it had invested around $1.5 billion in bitcoin and expected to begin accepting payment for its cars and other products with it in the near future, prompting a 7% jump in the electronic currency.
Tesla said in a filing the decision was part of its broad investment policy as a company and was aimed at diversifying and maximizing its returns on cash.
It said it had invested an aggregate of $1.5 billion in bitcoin under the changed policy and could “acquire and hold digital assets from time to time or long-term”.
This news comes less than a week after the Central Bank of Nigeria shared a circular which issued a directive restricting the processing of cryptocurrency transactions in financial institutions in the country.
The CBN has since then come out to explain the rationale behind the decision, citing volatility and anonymity amongst other issues to be threats to the economy which could also foster fraud.
Bitcoin surged after Tesla made the disclosure to hit a record high.
READ ALSO: Cryptocurrency ban: ‘Every medium of exchange is subject to fraud’ — Moghalu counters CBN
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