Tesla suspends vehicle purchases using Bitcoin over climate concerns

According to details, Bitcoin dipped by more than 10% following the announcement, while Tesla shares also dropped.

Earlier in March, when Tesla announced that it would accept the cryptocurrency, several environmentalists and investors raised serious concerns.

The electric carmaker had in February revealed it had bought $1.5bn (£1bn) of the world's biggest digital currency.

"We are concerned about rapidly increasing use of fossil fuels for Bitcoin mining and transactions, especially coal, which has the worst emissions of any fuel," Mr Musk wrote.

"Cryptocurrency is a good idea... but this cannot come at great cost to the environment."

He also said the electric carmaker would not sell any of its Bitcoin, and intends to use it for transactions as soon as mining shifts to using more sustainable energy.

Market analysts see the move as an attempt by Tesla to assuage the concerns of investors who are focused on climate change and sustainability.

Last month, Tesla declared profits for the first three months of the year were $438m, up from $16m last year, boosted by sales of Bitcoin and environmental credits.

Elon Musk has been one of the world's most high profile proponents of cryptocurrencies, often tweeting about Bitcoin and the once-obscure digital currency Dogecoin.