Elon Musk, Tesla CEO and Spacex CEO has obtained $7.139 billion from new financing commitments in order to finance his purchase of Twitter. This includes several pro-crypto businesses. Binance cryptocurrency exchange, by example, has also committed $500 million to the social media platform.
To Buy Twitter, Crypto-Friendly Businesses Join Elon Musk
Elon Musk is the Tesla CEO and has obtained funding from 18 companies in order to purchase Twitter Inc. according to his U.S Securities and Exchange Commission filing (SEC) filed on Thursday.
The SEC filing explains that Musk received equity commitment letters from these investors on May 4 “providing for an aggregate of approximately $7.139 billion in new financing commitments” in connection with his proposed acquisition of Twitter.
A number of pro-crypto firms are listed on the investor list, including Sequoia Capital Fund, which has committed $800 millions, crypto exchange Binance, which has committed $500 million and AH Capital Management, aka Andreessen Horowitz or a16z), which contributed $400 million, as well as Fidelity, which had committed more than $300 million.
Binance independently announced Thursday that it “plans to invest $500 million alongside Elon Musk in Twitter buyout.” CEO Changpeng Zhao (CZ) commented:
We’re excited to be able to help Elon realize a new vision for Twitter … We hope to be able to play a role in bringing social media and web3 together and broadening the use and adoption of crypto and blockchain technology.
Sequoia Capital, a crypto-friendly VC company. The company launched a cryptocurrency-focused fund of as much as $600 million in February and has partnered with some key players in the crypto space, including FTX CEO Sam Bankman-Fried and former Twitter CEO Jack Dorsey.
Fidelity Investments has long been pro-bitcoin, calling the cryptocurrency “a superior form of money.” In April, the financial services giant launched crypto and metaverse exchange-traded funds (ETFs) and announced that it will start allowing bitcoin investments in 401(k) retirement accounts.
Larry Ellison co-founder and Tesla board member, made the biggest funding commitment. He committed $1 billion.
Saudi Prince Alwaleed bin Talal also agreed to remain an investor of Twitter after Musk’s takeover. He initially refused to consider the Tesla executive’s offer to buy the social media platform, stating that his offer did not come close to Twitter’s intrinsic value.
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