this post was submitted on 11 Jun 2026
98 points (94.5% liked)

Technology

85355 readers
4158 users here now

This is a most excellent place for technology news and articles.


Our Rules


  1. Follow the lemmy.world rules.
  2. Only tech related news or articles.
  3. Be excellent to each other!
  4. Mod approved content bots can post up to 10 articles per day.
  5. Threads asking for personal tech support may be deleted.
  6. Politics threads may be removed.
  7. No memes allowed as posts, OK to post as comments.
  8. Only approved bots from the list below, this includes using AI responses and summaries. To ask if your bot can be added please contact a mod.
  9. Check for duplicates before posting, duplicates may be removed
  10. Accounts 7 days and younger will have their posts automatically removed.

Approved Bots


founded 3 years ago
MODERATORS
you are viewing a single comment's thread
view the rest of the comments
[–] echodot@feddit.uk 6 points 13 hours ago (3 children)

No it doesn't because he doesn't get any money from the IPO, he gets money from selling the shares, the initial evaluation can be whatever the hell it wants to be.

The best he can do with this is use it as collateral in order to get a loan to by a helicopter, which he could probably already do, so nothing's really changed for him.

[–] ReptilianCleric@lemmy.zip 5 points 10 hours ago (1 children)

So the borrowed money that came from nowhere isn't real because they did enough sleight of hand that the literally real bank balance doesn't actually exist because it isn't real money.

Got it!!

[–] echodot@feddit.uk 6 points 10 hours ago* (last edited 10 hours ago) (2 children)

Like most rich people his wealth is purely theoretical. If I needed to demonstrate my entire wealth I could just extract it all from my bank account, but a lot of his money is based on perceived worth of his businesses, which of course don't really have a value because they haven't been sold to anyone and in many cases haven't actually generated a profit.

So basically the IPO is saying that if the company was sold, it would be worth x amount of money. But of course we don't know that, and unless he actually sells the business, he doesn't get x amount of money.

This is what people mean when they say we are in another tech bubble, companies are getting massively overvalued for what it is even remotely conceivable somebody would be prepared / able to pay for them. So you get stupid headlines like this that say that Elon Musk is a trillionaire, even though he has substantially less than 1 trillion dollars in his various bank accounts. In terms of actual dollar amounts he probably has 10 or 20 million at most. Absolutely not chicken feed by any stretch of the imagination but also not more money than most countries GDP.

[–] JohnEdwa@sopuli.xyz 4 points 7 hours ago* (last edited 7 hours ago)

A lot of wealth is based on perceived/theoretical value. Most of it, in fact. Let's say you own a car or a house, their value is based on what someone else is willing to pay for them, but you can't know how much that would be before you do. Heck, even bank notes are technically just "worthless" IOU's backed by a government.
That doesn't mean your net worth is zero just because you don't have cash on hand.

Shares are (in reasonable sale quantities) more factual, because they are essentially based on buy offers: if you have one SpaceX share, you know it's currently worth exactly $160.13, because someone has offered to buy it for that amount.

And this is entirely ignoring the fact that you, like Musk, can turn the "perceived" value into "real" value extremely easily - it's called a loan. Musk got a cool $13 billion one back when he bought Twitter.

[–] JimmyMcGill@lemmy.world 3 points 12 hours ago

Dont defend the fucker

[–] betanumerus@lemmy.ca 0 points 7 hours ago* (last edited 7 hours ago)

No one ever trades in all their shares for whatever it is you choose to count as "money". By your count, there aren't even any millionaires.