In a remarkable turn of events, a 5% stake in AI coding startup Cursor, sold by FTX's bankruptcy estate for $200,000 in April 2023, would now be valued at approximately $3 billion following SpaceX's acquisition agreement at a $60 billion valuation. This development has brought attention to the significant gap between the original sale price and the current value, with the difference representing a substantial 15,000x return.
The acquisition is part of Elon Musk's efforts to enhance SpaceX's AI capabilities, particularly in the area of AI coding tools, where the company is currently lagging behind competitors. The deal is contingent on SpaceX's planned initial public offering, which is targeting a $2 trillion valuation, with a $10 billion breakup fee serving as a safeguard.
The crypto community is abuzz with the news, as it underscores the potential value that could have been realized by FTX's creditors if the estate had retained the stake rather than selling it during the bankruptcy proceedings. This incident is likely to feature prominently in the ongoing discussions surrounding FTX's bankruptcy administration and the arguments presented by Sam Bankman-Fried regarding the estate's handling of assets during the liquidation process.