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Twitter Votes in Favor of Elon Musk Selling 10% of Tesla Stock

Twitter votes in favor of Elon Musk selling 10% of his Tesla stock. The CEO released the poll on Saturday with results on Sunday.

SageFX - Nov, 08, 21

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Principal Points

  • Elon Musk should sell 10% of his Tesla shares, or roughly $20 billion, Twitter decided
  • The Tesla CEO owns about 21% of the EV maker; his stake is worth over $200 billion

Twitter Decided: Musk Should Sell 10% of Tesla Stake

Elon Musk, the eccentric billionaire and chief executive of Tesla, released a Twitter poll asking millions of people one thing. Whether or not he should sell 10% of his stack of Tesla shares. In other words, Mr. Musk put the fate of roughly $20 billion worth of Tesla stock into the hands of Twitter users.

And 24 hours later, on Sunday afternoon, the results were in. More specifically, voters backed the share sale with about 58% in favor, against 42% who opposed the proposal. Moreover, the poll amassed a large number of votes as roughly 3.5 million people participated.

In more detail, Elon Musk asked his 62.7 million followers on Saturday if he should offload 10% of his Tesla stock. The intention behind the proposal was to pay a tax on the realized gains, or about $20 billion.

“Much is made lately of unrealized gains being a means of tax avoidance,” Mr. Musk said in a Twitter post. “So, I propose selling 10% of my Tesla stock. Do you support this?” he added as he created the poll.

Musk Owns About 21% of Tesla, or Over $200 Billion

Furthermore, he concluded by saying that he will “abide by the result of this poll, whichever way it goes.” In addition, he made sure to clarify that he does not take a cash salary or bonus. That would mean he only has the stock. And in order to pay any taxes as an individual, he should sell the stock, thus realizing the gains.

Presently, Elon Musk is the richest person on the planet with a fortune of over $330 billion. Recently, Tesla stock went on a tear, rallying almost 70% over the past two months. His roughly 21% stake in the electric-car maker is valued at over $200 billion.

What’s the Big Picture for Traders?

Elsewhere in the broader financial markets, traders are preparing to step into another week of volatility. More precisely, stocks on Wall Street are trading at their highest-ever level. All three major indexes, S&P500, Dow Jones, and Nasdaq, finished Friday’s session at record highs.

The upside swing was boosted by the latest jobs report which surpassed estimates. That said, the nonfarm payrolls report showed US employers added 531,000 new jobs in October. The strong rebound was the biggest gain in three months, blowing past the consensus of 450,000 new hires.

Also, the House of Representatives passed a $1 trillion stimulus package intended to bolster the US economy. The spending will be directed toward fixing roads, bridges, railways and other infrastructure.

In cryptocurrency markets, the price of bitcoin is floating near $66,000 early on Monday. With this in mind, crypto traders are shifting gears as they aim to challenge the all-time high of $67,000 per coin.

What to Watch in the Markets?

Looking ahead into the week, market participants will be watching the US inflation data scheduled for Tuesday. In particular, the CPI report will show whether consumer prices have eased from their highs. The event could create heightened volatility in the forex market, presenting trading opportunities.

 

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