How much can the world’s richest man affect the workings of the world? Quite a bit, actually.
Tesla CEO and SpaceX Boss, and currently world’s richest man, Elon Musk has always been a universal guide and guru on the Internet. Musk, who often puts out bizarre things from his Twitter profile, has voluntarily or involuntarily managed to influence several products and companies.
Musk, who puts out tweets about space, science, cat gifs, anime girls and often what you should support, holds a strange leeway with everyone: A single tweet can lead to a never-seen-before surge in prices of holdings and stocks. It’s what the Internet had now coined ‘The Musk Effect.’
Here’s looking at how some of his investments have led to a surge in multiple occasions.
Musk’s support for the messaging app ‘Signal’ led to users migrating there by such large numbers that the app temporarily crashed. However, there may have been mixed signals along the way, as investors, however, mistook it for the stock share of a company called ‘Signal Advance Inc.’ and invested in it. According to Bloomberg, by the end of the day, Signal Advance Inc. shares had surged more than sixfold. That was enough to push Signal Advance’s rally more than 5,100% in three trading days giving it a market valuation of $390 million.
Despite reports about the confusion on Friday, the stock has continued to rally. Shares of Texas-based company surged as much as 885% on that day before paring the gains.
Bitcoin jumped as much as 14% on Friday to a two-week high after Tesla Inc chief Elon Musk tagged the cryptocurrency in his Twitter biography.
Musk simply wrote “#bitcoin” in his biography on the microblogging site.
The cryptocurrency was trading at $37,800 as of 0936 GMT.
Elon Musk has tweeted a digital magazine cover featuring a dog in apparent support of a digital currency Dogecoin. Shares of DogeCoin along with additional push from Reddit recorded a never-seen-before jump.
Reddit’s r/WallStreetBets forum grabbed Musk’s attention too when he tweeted “Gamestonk!!” on Tuesday, along with a link to the Reddit stock trading discussion group behind the year-to-date 2,500%-plus rally in the video game retailer.
Shares of fast-growing Polish game developer CD Projekt soared 16% on Thursday after Musk tweeted: “The esthetics of Cyberpunk are incredible btw….”. Cyberpunk is the company’s flagship game.
Online retailing platform Etsy’s stock jumped 9% on Tuesday right after Musk tweeted: “I kinda love Etsy”. He said he bought a “hand knit wool Marvin the Martian helm” for his dog.