Altimeter Capital CEO says Musk's SpaceX share giveaway could spark $100 billion philanthropic drive via Trump Accounts
Altimeter Capital chief Brad Gerstner told CNBC that Elon Musk's plan to give SpaceX shares to U.S. children may be the start of a larger effort to raise $100 billion for youth investment accounts.
Elon Musk announced plans to distribute SpaceX shares to every child in the United States next year, a move that Altimeter Capital CEO Brad Gerstner said could be the first step in a broader fundraising campaign. Gerstner told CNBC's "Squawk Box" that the $10.5 billion worth of shares earmarked for the initiative would be delivered through Trump Accounts, a new tax-deferred investment vehicle for minors.
"Elon is the tip of the iceberg," Gerstner said. "I told the president, I think I can raise $100 billion over the course of the next 12 months to sponsor all of the kids in America."
He added that he has spoken with other leading technology CEOs about similar contributions. A $100 billion target would represent roughly one-sixth of total U.S. charitable giving, which amounted to $592.5 billion in 2024, according to the National Philanthropic Trust.
The Treasury Department recently issued temporary regulations allowing Trump Accounts to hold donated individual stocks, a shift from earlier rules that limited holdings to diversified index funds. Tax attorney Adam Bergman explained that the change enables mega-donors and large foundations to contribute large blocks of stock without incurring substantial capital-gains taxes.
Internal Revenue Service chief Frank Bisignano noted that donors range from small contributors to "mega donors in the nine-digit range." Treasury Secretary Scott Bessent said the program will continue to attract philanthropists seeking to help children build financial futures.
Trump Accounts, also known as 530A accounts, are available to any U.S. child under 18 with a Social Security number, and a pilot program offers a one-time $1,000 contribution for children born between 2025 and 2028. Gerstner suggested expanding the accounts to all U.S. citizens under age 40, a change that would require congressional approval. Senator Bernie Moreno (R-Ohio) called the proposal a "game-changer" and said he would lead related legislation in the Senate.
If the expansion proceeds, it could provide a vehicle for large-scale charitable gifts from tech leaders such as Musk, OpenAI and others, allowing contributions to compound over decades.