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Monday, December 23, 2024

Elon Musk’s $2.77 Billion Bet on Trump Pays Off Big Time

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The Washington Post reported on Sunday that Tesla CEO Elon Musk has reaped over 600 times his investment by backing President-elect Donald Trump.

Bloomberg’s Billionaires Index shows that as of December 13, Musk’s net worth has soared to approximately $442 billion, cementing his position as the world’s wealthiest individual. This year alone, his wealth has swelled by about $200 billion, an 80% increase, primarily driven by Tesla’s surging stock price. Remarkably, $170 billion of this growth occurred after the U.S. presidential election. 85% of this year’s wealth increase materialized in just 40 days since November 5. During this period, Tesla’s stock price skyrocketed from $251.44 on November 5 to $436.23 on Saturday, marking a 73.5% surge.

Musk’s active campaigning for former President Trump during the election appears to be paying off. He also poured a huge amount of election funds into former President Trump. The amount of election funds Musk invested is $277 million. This “investment” has yielded an astronomical return of $170 billion, translating to a 612-fold increase, with potential for further growth.

As one of Trump’s closest aides, Musk was named head of government efficiency during his second term and is currently wielding considerable power, including the ability to influence cabinet nominations. According to the Washington Post, “As Musk becomes Trump’s loyal political ally, Musk’s corporate empire will directly benefit from Trump’s promised policies such as deregulation. “As the head of government efficiency, Musk may also create policies that directly affect his business.

Musk’s business portfolio extends beyond Tesla, encompassing SpaceX, the neuroscience startup Neuralink, the AI firm xAI, the social media platform X (formerly Twitter), and the tunneling enterprise The Boring Company. In response to criticism of Tesla’s advanced driver assistance features, Senator. Edward J. Markey stated that Musk “is already reaping the benefits of his investment in Trump” and promised to “work to ensure that Musk cannot deregulate or weaken legal standards to benefit his own business.”

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