X (Twitter), a field of ruins: Is the fault of “Dogefather” Musk?

By purchasing Twitter in October 2022, Elon Musk thought he had saved the social network of bankruptcy. He even set himself the goal of making astronomical profits with the increase in the number of users and the conveniences of Twitter, now X. Except that a year after the purchase of the Californian company, the results look different. Details !

A year later, X sees its value cut in half

Elon Musk is certainly the richest man on the planet, but the purchase of Twitter in 2022 cost him very dearly: 44 billion dollars. At the time of the transaction, each share of the blue bird social network was worth $54.20. To find such a sum, the billionaire had to notably sell 4 billion shares of Tesla and accept the $500 million offered by crypto behemoth Binance.

X has seen its value reduced since Elon Musk’s takeover

X, the platform formerly known as Twitter, is worth less than half of what Elon Musk paid to acquire it a year ago.

The restricted stock units awarded to female employees value the company at $19 billion, or $45 per share, according to a person familiar with the matter. »

Bloomberg who looked into the financial state of Twitter Inc., taking some information from an internal company memo, mentioned financial difficulties that occurred during the Musk era. Besides the $44 billion, gathered from debt and equity, the social network also recorded a debt of 13 billion dollars as soon as the boss of Tesla took power, a company in possession of several bitcoins.

However, the new boss of Debts are therefore accumulating at the moment for the platform aiming to become an “everything app”. And also claim the title of financial giant. Bloomberg estimates that its directors will have to pay up to $1.2 billion in interest per year on its debt.

X, a future for cryptocurrencies?

So far, Elon Musk and his team are only maintaining the mystery surrounding the introduction of cryptos into the X ecosystem. However, we know thatthere will never be native cryptothe boss recently underlined.

To remedy this situation, Linda Yaccarino met with bankers to present X’s financial plan. In her file, the general manager highlighted X’s new products and services, in particular payments which could probably include cryptocurrencies, as well as advertising levels.

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