Following Donald Trump ‘s victory in the November 6, 2024 presidential election, many billionaires, especially those in the technology and financial sectors, such as Elon Musk, have seen their net worth increase significantly.
The increase came as the S&P 500 index rose 2.5 percent and the Nasdaq jumped 2.9 percent on Wednesday, showing strong gains shortly after the election.
The Bloomberg Billionaires Index showed that Musk’s wealth alone rose by more than $26 billion, driven by strong growth in Tesla shares. The increase was due to a positive market reaction to Trump’s anticipated policies, such as corporate tax cuts and a pro-cryptocurrency stance.
Musk, who contributed some $119 million to Trump’s campaign, has benefited from this renewed investor confidence.
Trump hinted during his campaign that he intends to offer Musk an official role in his administration if he is re-elected. Talks about Musk’s potential role focused on creating a position focused on making government more efficient and cutting costs. Musk jokingly referred to the position as heading the “Department of Government Efficiency” (DOGE).
Meanwhile, the wealth of Binance founder Changpeng Zhao rose by $12.1 billion on Wednesday, bringing his net worth to $52.7 billion. His wealth is tied to the cryptocurrency market, especially the value of Bitcoin and Binance Coin (BNB). The surge in their prices has boosted his assets. Interestingly, Bitcoin reached a new peak, surpassing $76,000 after Trump’s victory.
The net wealth of Brian Armstrong, CEO of Coinbase, increased by $2.5 billion, reaching $11 billion. This jump came mainly from a 31% increase in Coinbase shares after the election, which directly increased his wealth due to his significant stake in the company.
Ryan Lee of Bitget Research noted that Trump’s re-election could bring relegated funds back into the market out of fear, potentially pushing bitcoin to new highs. “The market is currently in a consensus phase on long positions,” he – he said.
He also predicts that in the medium to long term, Trump’s policies may benefit bitcoin, but may trigger higher inflation in the US, with interest rates likely to remain above 3.5%. In addition, since Republicans control Congress, there could be positive changes in cryptocurrency regulations, which will ultimately benefit the industry, he said.
