Abstract:
American entrepreneur Elon Musk announced on October 19, local time, that he plans to give one SpaceX stock to every child in the United States in 2027. Based on the recent closing price of SpaceX stock, if this plan covers all children under the age of 18 in the United States, the total value of the stocks involved will be approximately US$10.5 billion. This would be one of the largest individual stock donation programs of all time. However, Musk has yet to announce a specific implementation plan, including key details such as the eligibility determination of recipient children, the method of stock transfer, and the distribution schedule.
Musk posted a message on the social media platform
According to the U.S. Census Bureau, as of July 1, 2025, the population under the age of 18 in the United States was approximately 72 million. Based on the closing price of SpaceX stock on October 16 of approximately $146.03, if each child received one share, the total value of the shares involved would reach approximately $10.5 billion.
US media reported that Musk has not further explained how this plan will be implemented. Since most of the recipients are minors, it remains unclear whether the shares will be registered directly in the children's names or held through a custodial account, trust or other financial arrangement. In addition, it remains to be further clarified whether the plan covers all children under the age of 18, how to deal with teenagers who reach the legal age of majority during the implementation period, and whether newly born children are eligible.
Musk’s shareholding makes this plan feasible. According to relevant regulatory filings, he holds approximately 4.8 billion SpaceX shares; if unvested award shares and stock options are included, his beneficial holdings are approximately 6.4 billion shares. Under a one-share-per-child plan, the allocation of about 72 million shares would represent a small portion of its total holdings.
However, the actual value of the stock gift will vary as SpaceX's stock price fluctuates. If the stock price rises before the official transfer, the total market value of the donation will increase; if the stock price falls, the total value will decrease accordingly. Therefore, US$10.5 billion is only an estimate based on the current reference price and does not represent the final value upon actual delivery.
SpaceX will complete its initial public offering in June 2026 and begin trading on the public market. After a company goes public, investors can more directly observe its market valuation through changes in its share price. As of the close of trading on October 16, SpaceX stock price was approximately $146. The company's valuation when it was listed reached approximately US$1.77 trillion, and its post-listing market performance has also made it one of the focuses of global capital markets.
Musk’s announcement of donating stocks this time is related to his recent statements on how corporate equity should benefit the public. Previously, artificial intelligence company Anthropic announced plans to invest 5% of the company's equity in a new public welfare fund. In the future, the fund may be used for large-scale charitable donations, and may also explore ways to directly distribute economic benefits to specific groups, and study the impact of the development of artificial intelligence on employment and social structure.
Regarding Anthropic’s plan, Musk once stated on X that he proposed to allocate stocks directly to the public, and said that he would also adopt a similar approach. The announcement to give away SpaceX shares to American children is a concrete manifestation of this idea.
If the plan is ultimately implemented, the recipient children will receive direct equity in SpaceX, not just a fixed amount of cash. This means that they may share in the company's future operating results and stock price gains, but they also need to bear the risk of stock price declines. Stock gifts emphasize long-term asset accumulation more than one-time cash grants, although their ultimate economic value depends on the future performance of the company and when the recipient sells the stock.
Related plans to provide investment assets to children have also emerged in the United States in recent years. One of the projects that has received attention is Trump Accounts. This tax-advantaged savings and investment account for American children is planned to be established in relevant tax and spending legislation in 2025 and will begin implementation in 2026. Eligible children born between 2025 and 2028 can receive an initial $1,000 in funding from the U.S. Treasury Department.
This project aims to help children accumulate financial assets from an early age and obtain compound interest returns through long-term investment. As the project progresses, some companies, financial institutions and wealthy individuals have also announced additional funding or other forms of support.
SpaceX President and Chief Operating Officer Gwen Shotwell has previously announced that she and her husband plan to donate SpaceX stock to more than 2 million American children. Based on stock price estimates at the time, the donation was worth more than $320 million. Grant recipients will primarily be children ages 11 to 17 who live in areas with below-average household incomes, with appropriate priority given to children who live near the couple's home in Central Texas.
In addition, American entrepreneur Michael Dell and his wife Susan Dell previously announced that they would provide $250 each to the Trump accounts of 25 million American children, totaling $6.25 billion. Funding is prioritized for children living in low-income areas. Other companies have also announced support for the project, reflecting that the U.S. business community and wealthy individuals are trying to expand personal asset accumulation opportunities through children's investment accounts, stock donations, and other methods.
The plan announced by Musk this time is even larger. If all the approximately 72 million minors in the United States receive one share of SpaceX stock, based on the current stock price, the value of the donation will significantly exceed the $6.25 billion in financial support previously announced by the Dells. However, the forms of the two plans are not exactly the same: the Dells provided funds that would go into the children's accounts, while Musk proposed a direct gift of SpaceX shares. There is currently no clear information on whether they will eventually be connected to the Trump account system.
Musk said that this was just the first of many actions he planned to take, but he did not disclose whether he would continue to give away shares to other groups in the future, nor did he specify the scale and specific goals of subsequent actions.
Currently, this plan is still in the public announcement stage. Whether it can be implemented as scheduled will depend on the specific distribution mechanism, legal and tax arrangements, as well as operational issues involved in holding and managing stocks by minors. Until those details are clear, approximately $10.5 billion should still be viewed as a potential donation based on current stock prices, rather than a completed charitable donation.
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