Tesla's stock plummets when Twitter votes for Elon Musk sell 10% stake

Tesla's market value was slashed by more than US$60 billion ($80.8 billion) early Monday after millions of Elon Musk's Twitter followers voted in favor of him selling 10% of his shares in the business.

Tesla's stock sank almost 6% in pre-market and early trading on the Frankfurt stock exchange.

Mr Musk announced on Saturday that he would allow Twitter followers to vote on whether he should sell 10% of the 170.5 million Tesla shares he owns.

The Twitterverse has spoken: When the polls closed on Sunday, 58% of more than 3.5 million voters had voted "yes."

"Given the recent emphasis on unrealized gains as a way of tax evasion, I advise selling 10% of my Tesla stock. Are you in favor of this? "Tesla's CEO published a statement.

He said that he would closely monitor the poll's outcome regardless of the outcome, but has not yet indicated what, if anything, he will do next.

Mr Musk has previously run afoul of regulators for tweeting crucial information about Tesla without contacting the board or thoroughly verifying the information he was supplying shareholders.

The SEC charged him with fraud in 2018 after he tweeted about considering taking Tesla private.

Musk agreed to a court-approved settlement that obliged Tesla directors to evaluate any social media posts containing "material" information for shareholders.

Months later, after Mr Musk was publicly chastised for disobeying the injunction, the settlement was revised to include a precise list of items Mr Musk need authorization to tweet about.

The list includes tweets concerning the company's financial performance, production statistics, and new product lines.

Tesla does not pay Mr Musk a salary. As of Friday's closing of market, his 170.5 million Telsa shares were worth US$208.3 billion ($280.7 billion). At the current share price of US$1,222.09 ($1646.67), 10% would be worth US$20.8 billion ($28 billion).

Tesla's stock plummets when Twitter votes for Elon Musk sell 10% stake
Elon Musk is the world's wealthiest individual. So wealthy that he staked more than $28 billion in Tesla stock on the outcome of a Twitter poll.

Since the company's initial public offering in 2010, he has owned 80 percent of those 170.5 million Tesla shares.

Additionally, he has the option to purchase an additional 73.5 million shares. It is unclear if the shares would be included in his holdings if he sells the 10%.

Mr Musk was the world's wealthiest man on Sunday, according to the Bloomberg Billionaires Index, with a total net worth of US$338 billion ($455.4 billion).