Elon Musk said on Oct. 19 that he will give one of his own SpaceX shares to every child in America next year, calling the pledge "the first of many." The promise came a day after Anthropic sa
Elon Musk said on Oct. 19 that he will give one of his own SpaceX shares to every child in America next year, calling the pledge "the first of many."
The promise came a day after Anthropic said it would commit 5% of its shares to a new public benefit fund, the Associated Press reported.
Responding to that announcement, the Tesla and SpaceX CEO wrote, "I recommend giving the shares directly to the public," adding, "This is what I will be doing."
Musk did not say how the shares would be delivered or who counts as a "kid in America."
President Donald Trump and Treasury Secretary Scott Bessent both said Monday that the gift would move through Trump Accounts, the tax-advantaged investment accounts Washington created for American children last year, according to statements collected by TrumpAccounts.com.
How Elon Musk became important for crypto (2:59)Musk appeared to endorse that route. "Thanks for helping enable this," he told Altimeter Capital founder Brad Gerstner, who championed the accounts.
At SpaceX's closing price of $146.03 on Friday, CNBC estimated the pledge at about $146 per child and more than $10.5 billion overall, based on Census Bureau data showing roughly 72 million Americans under 18.
The stock has rallied since.
SpaceX closed at $159.31 on Wednesday, up almost 8% on the day, which values the same promise at roughly $11.5 billion.
Related: SpaceX's latest earnings humble the rocket industry
With Bitcoin trading near $84,300 on Wednesday evening, one SpaceX share would buy roughly 0.0019 BTC for each child.
Spread across about 72 million children, the gift would come to roughly 136,000 BTC, worth about $11.5 billion at current prices.
Bitcoin remains about 33% below its October 2025 record above $126,000, even after recovering in recent weeks.
SpaceX only became a public company in June. The rocket and satellite maker priced its IPO at $135 per share on June 11, raising a record $75 billion in the largest IPO in history, according to Reuters.
Shares opened at $150 on June 12 and closed their first session at $160.95, up about 19%. The ride since has been rough. The stock peaked above $225 in June, slid below $105 in August and briefly fell under its IPO price before recovering.
More change could be coming. SpaceX and Tesla have formed special committees to explore merging the two companies, a deal that would combine roughly $1.5 trillion and $2 trillion in market value, the BBC reported.
"Do I think it would be a good idea? Yes," Musk told analysts on SpaceX's earnings call Tuesday, while cautioning that shareholders would have to approve any deal and that he is excluded from both committees as a "conflicted party."
Longer term, Musk says SpaceX is now focused on building a "self-growing city" on the Moon within 10 years, with a Mars city to follow, he said in February.
One SpaceX share is a stake in a profitable company whose value rests on rocket launches, satellite revenue and Musk's own plans, including a possible merger with Tesla.
Bitcoin ties the child to no company at all. Its price rests on whether people keep wanting an asset with a fixed supply of 21 million coins.
The track record cuts both ways.
Bitcoin has delivered far larger long-term gains than most stocks, but it has also suffered calendar-year losses of about 57% in 2014, 73% in 2018 and 64% in 2022, according to StatMuse data.
A child born today would hold the gift until 2044. Bitcoin itself is not even 18 years old.
At Wednesday's prices, one SpaceX share converts to about 0.0019 Bitcoin, or roughly 189,000 satoshis, the smallest unit of the currency. From there, the range of outcomes is wide, and a few simple scenarios frame it better than any forecast.
Trump Accounts cannot hold Bitcoin today, just as they cannot hold gold or copper.
Under Section 530A and Treasury guidance published in the Federal Register, money in the accounts must sit in mutual funds or ETFs that track an index of mostly U.S. companies, with no leverage and annual fees capped at 0.1%.
The one exception is stock in a U.S. public company donated directly into the accounts, which Treasury's Sept. 30 rules allow as long as recipients hold it for at least five years.
That is the door open to Musk's pledge.
The accounts have already attracted major gifts, with Michael and Susan Dell pledging $6.25 billion and SpaceX President Gwynne Shotwell promising her own SpaceX shares to 2 million accounts in July, The Verge reported.
No equivalent rule exists for Bitcoin, so the same gift in crypto would first require Washington to change the law.
What actually changes at 18 is the rules, not the account.
Under Section 530A, a Trump Account is a retirement account from day one, and the childhood limits end on Jan. 1 of the year the child turns 18. That covers the $5,000 annual contribution cap, the index-fund requirement and the ban on taking money out.
From then on, ordinary traditional IRA rules apply.
The money becomes reachable but taxable, and withdrawals before age 59½ generally carry a 10% penalty, with exceptions for things like college costs or a first home. The account itself does not close, and nothing has to be rolled over.
Disclaimer: The views and opinions expressed in this article are solely those of the author and do not necessarily reflect the views of TheStreet Roundtable. This piece is for informational purposes only and should not be considered financial or investment advice.
Related: SpaceX's latest earnings humble the rocket industry
