Why Elon Musk's net worth dropped below $900 billion despite hitting trillionaire status just weeks ago
Just last month, Elon Musk made history by becoming the first ever trillionaire in the world.
This came after his space company, SpaceX, started trading on the Nasdaq, subsequently boosting Musk’s net worth above the trillion threshold.
It opened on the Nasdaq stock exchange on June 12 with a value of $2.2tn, with the stock opening its trading at $150. While it briefly peaked at $176.50, it ended the day at $161.
This boosted Musk’s wealth beyond the trillionaire mark to a whopping $1.11tn, making history as the world’s richest man became even richer.
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However, just weeks later, the tech mogul has seen his wealth drop back down and is now sitting at below $900 billion.
According to the Bloomberg Billionaires Index, the entrepreneur was actually only a trillionaire for just 12 days.
After that, SpaceX saw a decrease in its stock value, causing Musk’s net worth to dip below the trillionaire mark.
At the time of writing this, the space of SpaceX stock is valued at $136, meaning it has faced an all-time drop of 25%.
The news has prompted many people to take to social media to share their own reactions, with one user writing on Reddit: “My FIL was just raving about how this is such a great stock to buy last weekend. I fear he put his whole nest egg into it.”
Another said: “All time low... that overvalued meme stock has only been out for a couple of weeks and basically started crashing almost immediately.”
A third person commented: “all time low!! it's only been two weeks! there is plenty of room for it to drop a lot more!”
And a fourth added: “The basic question remains, from where are they going to generate so much revenue and profit to justify the valuation. All explanations attempting to justify appear like a pie in the sky.”
Musk’s dreams of colonizing Mars
Musk has ambitious dreams for the future of SpaceX, with the mogul having previously discussed his hopes for making Mars habitable for human colonization.
The Tesla boss recently stated that SpaceX’s involvement in the current lunar space program will be used to help the firm better prepare for the Red Planet.
On the SpaceX website, it details the company’s mission for getting humans to Mars, stating: “Establishing a self-sufficient city on Mars will require upwards of one million people and millions of tonnes of cargo to be delivered to the Red planet.
“By launching more than 10 times per day to maximize transfer windows that open up every approximately 26 months, several thousand Starships will ultimately transfer crew and equipment to build a lasting presence on another world.”