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TSLA Stocks Unfazed as Twitter Poll Tells Elon Musk to Sell 10% of His Shares

After a few days of voting, the majority of the 3.5 million poll participants have decided that Elon Musk should sell $25 billion worth of his Tesla stock. The billionaire already asserted that he will abide by the results of the poll, which raises questions about how that would impact the shares prices and also bitcoin – as the company holds BTC on its balance sheet.

TSLA Stock to Experience Enhance Volatility?

Tesla’s CEO shocked the world during the weekend by initiating a Twitter poll asking whether he should sell 10% of his TSLA shares. Moreover, he vowed to do whatever his millions of followers decided.

And now that the results are in, it seems that he would have to dispose of some of his shares. More than 3.5 million people have voted, and 57.9% of them have answered with “yes.”

Much is made lately of unrealized gains being a means of tax avoidance, so I propose selling 10% of my Tesla stock.

Do you support this?

— Lorde Edge (@elonmusk) November 6, 2021

Musk argued that his idea came from the recent discussions regarding investors refusing to realize gains to avoid paying taxes. CNBC claimed that Tesla’s CEO will face a tax bill of more than $15 billion in the coming few months on stock options, which could be the primary reason for his potential sale.

Regardless of his actual reasoning, the implications of such a move could be significant for the company. After all, many people could follow in selling if they believe that the person running the firm has lost faith and is cashing out.

So far, though, this hasn’t been the case. During the Asian trading hours, TSLA stocks have remained relatively stable, losing “just” 0.64% of value. Granted, Musk hasn’t sold yet or even confirmed that he will sell indeed after the poll ended.

Nevertheless, it would be compelling to follow what will happen with TSLA in the following days and if Musk will proceed with his promise.

What About Bitcoin?

As reported yesterday, Bitcoin proponents such as Michael Saylor and Max Keiser explained the benefits if Tesla’s CEO decided to buy BTC with the proceeds of the TSLA share sale. Although that seems a bit far-fetched at the moment, the cryptocurrency could still be affected by Musk’s decision.

We’ve seen in the past how his words and actions in regards to BTC have impacted the asset’s price. Additionally, Tesla bought bitcoin at the start of this year, and despite selling a small portion (again – 10%), the company still holds billions of BTC worth on its balance sheet.

Since then, though, bitcoin has matured and has proven itself capable of rising above the FUD prompted by single individuals, even if they are as influential as Elon Musk.

Nevertheless, Musk’s eventual sale of $25 billion worth of his TSLA shares (approximately 10% of his total position) could also have some short-term effects on BTC as well.

Featured Image Courtesy of VOI

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