Ex-Linqto CEOs Charged in $450M Pre-IPO Fraud Involving SpaceX Shares
SPCX sits 34% above its 52-week low of $104.83.
Summary
Federal prosecutors charged two former Linqto CEOs with running a $450 million fraud scheme that sold pre-IPO shares, including SpaceX, at inflated markups. One CEO pleaded guilty and is cooperating. The scheme allegedly used false scarcity and markups up to 200% to defraud over 13,000 investors from 2020 to 2025. While SpaceX itself is not accused of wrongdoing, the case highlights risks in secondary pre-IPO markets and could dampen retail enthusiasm for SpaceX shares. Linqto filed for bankruptcy in July 2025.
At the time of this announcement, SPCX was trading at $140.32 on NASDAQ in the Technology sector, with a market capitalization of approximately $1.9T. The 52-week trading range was $104.83 to $225.64. This news item was assessed with negative market sentiment and an importance score of 7 out of 10. Source: Reuters.