Following the adoption of a new budgeting standard that allows businesses to benefit digital assets at market rates each quarter, Tesla reported a$ 600 million obtain on its Cryptocurrency investments in the third quarter.

The electric car manufacturer’s Bitcoin assets stand at 11, 509 BTC, according to Arkham Intelligence files, with its price estimated at$ 1.19 billion based on current market rates. &nbsp,

Tesla, however, did not disclose its Bitcoin holdings in its Q4 2024 report, referring only to a$ 600 million mark-to-market gain on “digital assets” .&nbsp,

The gain reflects an accounting adjustment made in accordance with new reporting standards, which increased Tesla’s reported electronic asset value from$ 84 million to$ 1.076 billion, which is the earlier impaired value that was recorded under outdated accounting standards.

The Financial Accounting Standards Board ( FASB ) updated its rule update in December 2023, mandating that businesses report digital assets at their fair market value rather than their lowest recorded price since purchase. &nbsp,

Tesla has adopted the principle first, ahead of the 2025 date, which is required for all companies for fiscal times beginning after December 15, 2024.

Tesla was originally just able to report losses if Bitcoin’s value dropped, but it was not permitted to make gains unless the advantage was sold. &nbsp,

Companies can change their crypto assets in accordance with the new standard, bringing them in line with how companies and other financial resources are valued, to indicate market movements each quarter.

Tesla reported adjusted earnings-per-share of$ 0.73, missing Wall Street’s estimate of$ 0.78, according to TipRanks data.

Despite the missed earnings, Tesla shares are up 4.3 % in after-hours trading to$ 406.25, as investors react positively to the Bitcoin revaluation.

That followed a 2.25 % slump in normal trade to$ 389.10, Google Finance data shows.

With 11, 509 BTC, Tesla remains one of the largest publicly traded Bitcoin recipients.

Under the new finance standard, different businesses with crypto exposure, like MicroStrategy and Coinbase, may notice their reported property values rise in 2019.

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