What’s more, Tesla founder Elon Musk has played a key role in fueling crypto prices higher over the past couple of weeks. He supported bitcoin and Dogecoin in interviews and tweets. Musk said Bitcoin is really on the verge of getting broad acceptance by conventional finance people in a Clubhouse audio app interview. He also called Dogecoin a people crypto. Tesla’s stock price grew only 1% after the announcement of crypto investment and adoption. Still, this move is likely to create an upside for the electric car maker. According to Wedbush Securities analyst Dan Ives, more investors will consider bitcoin exposure as part of the overall valuation. Related video: Dan Ives, managing director at Wedbush Securities, discusses Tesla Inc.’s $1.5B investment in bitcoin and his support of other cryptocurrencies like Dogecoin.
Crypto could be a new revenue source for tech giants
The market participants are optimistic that Tesla’s digital assets support would pave the path for wider corporate acceptance. Investors are now eyeing Apple (NASDAQ: AAPL) to add crypto service to its wallet app. The firm also believes crypto services from top tech giants would help the US become a leader in the crypto sector for the next few decades. RBC said Square (NYSE: SQ) had generated $1.6 billion in quarterly revenue through bitcoin trading. In contrast, the firm says Apple’s install base of about 1.5 billion people could make $40 billion in annual revenue from a Wallet-based crypto exchange.
