Led by Elon Musk, the space company SpaceX has officially acquired the artificial intelligence startup xAI, setting a historical record with a valuation of up to 1.25 trillion dollars, making it the largest corporate merger in history. This move not only redefines the vision for the integration of space and AI but also brings unimaginable potential returns to creditors of the bankrupt cryptocurrency exchange FTX.

(Musk confirms SpaceX's acquisition of xAI, trillion-dollar valuation creates a space AI vertical integration engine)

SpaceX valuation skyrockets past 1 trillion dollars

According to reports from Bloomberg, Reuters, and several other media outlets, the independent valuation of SpaceX in this all-stock deal is approximately 1 trillion dollars, while xAI is valued at 250 billion dollars. The newly merged group will combine SpaceX's rocket, Starlink, and space infrastructure capabilities with xAI's AI technology, including the Grok chatbot and other AI assets (xAI also acquired the social platform X in 2025).

Musk stated that this integration will create the "most ambitious vertical integration innovation engine on and off the planet," even planning to establish AI data centers in space to bypass terrestrial energy limitations.

With the IPO approaching, SpaceX is expected to break historical fundraising records.

This acquisition occurred as SpaceX is rumored to conduct its initial public offering (IPO) in mid-2026. Market analysts predict that this IPO is expected to raise tens of billions of dollars, with a valuation potentially exceeding 1.5 trillion dollars, making it one of the highest-valued public companies in history.

This news has sparked widespread discussion in the market, and even the social media platform X under Musk has seen updates, such as the addition of rocket animation like button effects, indicating that the overall brand integration actions have quietly begun.

FTX's unexpected turnaround: from 190 million investment to billions in assets.

This sky-high deal could become one of the most dramatic turnaround cases in history for the bankrupt cryptocurrency exchange FTX creditors.

According to data, FTX obtained equity in SpaceX through a settlement agreement with venture capital firm K5 Global in 2025. At that time, SpaceX was valued at about 80 billion dollars, and FTX's investment amount was approximately 190 million dollars. Now, as SpaceX's valuation rises to 1 trillion dollars, the theoretical value of that stake could reach 2.4 billion dollars.

Although this share has been diluted by about 23% to 25% after several rounds of capital increases, its actual value will be adjusted downward, but it remains one of the most growth-potential assets in the hands of FTX creditors.

Creditors regain hope: recovery rate may exceed 118%

FTX's liquidation team has recently announced positive news, with multiple statements indicating that some creditors from November 2022 are expected to receive repayment amounts exceeding 118%. This is quite rare in bankruptcy cases, almost equivalent to a rare situation of "losing money to make money."

This SpaceX merger further strengthens the recovery outlook. Market observers believe that this deal not only adds an important piece to Musk's corporate puzzle but also unexpectedly creates a wave of "the most incredible recovery" for FTX creditors.

Regulatory concerns still exist.

Although this merger is seen by the market as a "super technological integration" for the next decade, concerns have been raised by some regulatory agencies due to Musk's simultaneous control of SpaceX, xAI, and platform X, leading to potential governance structures and conflict of interest issues that may become the focus of subsequent investigations.

This article indicates that investing in U.S. stocks still relies on SBF! xAI merging into SpaceX sees valuations soar beyond 1.25 trillion dollars, bringing huge returns to FTX creditors, first appearing in Chain News ABMedia.