A Maybe Mirror Image of SpaceX Is Enough for Some Investors
Digital asset platform Republic plans to offer exposure to hot private companies via tokens, but the risks are substantial.
Out of reach.
Photographer: Giorgio Viera /AFP via Getty Images
The digital assets platform Republic is touting plans to give retail investors access to the world’s hottest private companies starting with Elon Musk’s SpaceX via mirror tokens. From the description on its website, this seems like a comically bad idea — perhaps not so funny for investors — that screams for even a hands-off, crypto-friendly Securities and Exchange Commission to shut it down.
It’s possible, of course, that the full legal details, when revealed, will address some of my concerns, but there is a fundamental problem with the idea. And beyond this effort, there’s the bigger issue of rules for retail investors hungry for exposure to companies unwilling to comply with public security requirements.