Grayscale CEO talks Bitcoin after Tesla confusion

By: Ajay Pal Singh
Ajay Pal Singh
Ajay worked at Tata Motors in project planning before discovering his passion for stocks. Today, he lives in Canada… read more.
on May 17, 2021
Updated: May 18, 2021
  • Grayscale CEO says ‘we shouldn’t get too focused on one’s person’s opinions’.
  • Bitcoin is down 24% over the past week.
  • Elon Musk clarified in a tweet this morning that ‘Tesla has not sold any Bitcoin’.

Tesla (NASDAQ: TSLA) CEO Elon Musk’s tweets have caused volatility in the crypto markets over the past week. 

In light of the news over the past week, Grayscale CEO Michael Sonnenshein said on CNBC that the company continues to see institutional and corporate take up of digital currencies.

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Sonnenshein said this asset class was borne out of the idea to create a more equitable and inclusive financial system and the consideration of Environmental, Social and Governance (ESG) factors is going to be the natural next step where crypto is going. 

“We shouldn’t get too focused on one’s person’s opinions”, said Sonnenshein.

He shared that institutions and corporates that Grayscale works with will certainly see the pullback in Bitcoin price over the last week as an opportunity to get in and fundamentally, their views on the space have not changed.

How Elon Musk caused confusion?

Tesla CEO Elon Musk has caused volatility in the cryptocurrency markets by first tweeting last week that Tesla will stop accepting Bitcoin for vehicle purchases due to increased use of fossil fuels in Bitcoin mining while adding that the company will not be selling any of its current Bitcoin holdings. 

But while responding to someone on Twitter over the weekend he suggested that the company had sold its holdings of Bitcoin. However, he clarified in a tweet this morning that ‘To clarify speculation, Tesla has not sold any Bitcoin’.

The tweets have put downward pressure on Bitcoin and some other digital currencies. Bitcoin is down 24% over the last one week and is currently trading at around $43,500 at the time of writing.

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