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Elon Musk’s Brother: “When We Invested in Bitcoin, We Were Very Ignorant”

Kimbal Musk took a straightforward approach when talking about Tesla’s investment in Bitcoin. At ETHDenver, Elon’s younger brother said the company was “very ignorant” of the cryptocurrency’s impact on the environment. His revealing words come little over a year since Tesla had bought $1.5 billion in Bitcoin.

Now, crypto enthusiasts wonder whether Kimbal’s comments will impact BTC’s price like Elon’s tweets previously did.

Bitcoin Purchase has Divided Tesla Supporters

Last year, when Tesla announced a humungous $1.5 billion investment in Bitcoin, the crypto market responded remarkably well. Firstly, its overall market capitalization spiked beyond the $2 trillion level. Bitcoin reached $64,000, and many altcoins performed way past anyone’s expectations.

However, Tesla’s delving into Bitcoin has not pleased everyone, especially the company’s more critical supporters. Last week, at ETHDenver, Kimbal Musk admitted that Tesla received “probably a million” complaints regarding the BTC purchase. He added:

Of course, our company is about creating alternative energy futures, so we really were not informed enough when we made that decision.

After all, Tesla promotes a more eco-friendly future with its electric vehicles. So, investing that much into a cryptocurrency with a gigantic carbon footprint does not align with the company’s mission. The heavy criticism forced Tesla to abort its accepting Bitcoin payments for its products. Kimbal added:

I really do not agree with the environmental impact of crypto, but I love what it does. So we’ve just got to figure out how to do it without the environmental impact… It’s simply not an option to have this environmental impact.

Next, Musk strayed from the topic by talking about DAOs and their potential to drive vital funds towards philanthropic initiatives.

Tesla and Cryptocurrencies

Kimbal Musk plays an essential role in his more famous brother’s companies. For instance, he is also a board member at SpaceX. However, he dedicates most of his work to a non-governmental school-based food growing initiative in Colorado.

On the other hand, Elon Musk puts most of his efforts into developing Tesla and SpaceX with ambitious plans. Investing in cryptocurrency has always seemed a logical step in his endeavor to propel mankind into a new technological era. However, his approach has not always benefitted the crypto market.

For instance, Musk’s gradually freezing relationship with Bitcoin has helped the cryptocurrency to lose half of its 2021 gains. Of course, other factors played an important role in BTC’s depreciation. However, when Elon said that Dogecoin was better than Bitcoin for transactions, it was enough for the asset to plummet.

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Regardless of what the Musk brothers have to say about Bitcoin, the cryptocurrency continues to expand in use and popularity. And, when it will also provide better sustainability, influential entrepreneurs like Kimbal and Elon Musk will surely re-embrace it.

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