Is This Why Tesla Rejected Bitcoin?

I had a few ideas in last night's report on why CEO Elon Musk has suddenly reversed course on Bitcoin. Here's another.

In my report last night, Tesla: Who Is The Enemy Now?, I speculated about why Elon Musk is now shocked, *shocked,* that Bitcoin is bad for the environment and so Tesla will no longer buy it (like with energy credit revenue cash, again) or accept it as payment.

As I said,

It’s near impossible to believe Musk, self-proclaimed DogeFather, was not already well aware that cryptocurrencies have a bad reputation as acute consumers of energy, largely produced by the dirtiest fuels.

So I had a couple of ideas about what Elon may be up too, really.

News out today made me think of another.

Forbes reported that the Chinese Government (CCP) is about to “crack down on financial institutions conducting cryptocurrency business or offering related services in light of the market's recent volatility, marking another blow to the nascent market reeling from one of its biggest sell-offs ever after booming institutional adoption helped lift it to meteoric highs during the pandemic.”

Ah ha.

Musk and Tesla are in hot water with China’s government and regulatory authorities and with increasingly wary potential and existing customers there (see why: Tesla's Troubles in China Are Heating Up). Not surprisingly, its Made-In-China (MIC) sales are suffering accordingly.

So, I suspect Musk may be trying to appease the CCP by distancing from Bitcoin & cryptos he has aggressively promoted which fueled volatility CCP is targeting.

We’ll see.