Tesla Nets $284 Million Profit from Bitcoin in Q2

Tesla has reported a $284 million gain from its Bitcoin holdings in Q2 2025, marking a sharp turnaround from its $125 million loss in the previous quarter. The rebound came amid a broader cryptocurrency rally fueled by rising institutional demand and inflows into spot Bitcoin ETFs, which helped push BTC’s price to around $123,000.

Thanks to a recently adopted crypto accounting rule allowing companies to record unrealised gains, Tesla was able to reflect the increased value of its Bitcoin portfolio on its earnings sheet. As a result, the company’s net income surged to $1.2 billion, up significantly from $409 million in Q1.

While Tesla’s revenue dipped 12% year-over-year to $22.5 billion, it maintained solid performance in other key financial areas. Operating income stood at $923 million, and the company ended the quarter with $36.8 billion in cash and investments.

Beyond financials, Tesla continued to expand its footprint in artificial intelligence and autonomy. In June, it launched its first Robotaxi service in Austin and deployed its initial driverless vehicles powered by the latest Full Self-Driving (FSD) software. The company also strengthened its AI infrastructure by adding 16,000 H200 GPUs to its training systems.

CEO Elon Musk emphasised that Tesla will focus on cost management, AI services, and software autonomy to offset weakening car sales. The recent success of Tesla’s Bitcoin strategy may also inspire other public companies to adopt BTC as a treasury asset. Last week alone, Bitcoin treasury firms acquired $810 million worth of BTC.

With favourable accounting changes and increasing crypto integration, Tesla’s model could influence a wider wave of institutional Bitcoin adoption, especially as companies look to diversify income sources and adapt to AI-driven transformations.