SEC Silent on SpaceX Share Structure That Echoes 1926 Presidential Concerns

The U.S. Securities and Exchange Commission (SEC) has declined to comment on whether it is investigating or reviewing SpaceX's share structure, which has raised concerns over a regulatory arrangement that troubled a U.S. president in 1926. According to Reuters, the SEC did not respond to questions on the matter. SpaceX's share structure includes a provision that determines control and voting rights within the company. This arrangement is likened to a structure that caused concern for then-U.S. President Calvin Coolidge in 1926, who opposed the issuance of non-voting shares by corporations at the time. As a private company, SpaceX does not publicly offer its shares, and its current structure grants founder Elon Musk significant control. This has raised questions among investors and regulators regarding transparency and governance. The SEC's silence creates uncertainty over whether the matter is under regulatory review. Experts note that SpaceX's share structure, particularly the use of non-voting shares, carries potential risks in terms of fairness and accountability in corporate governance. This is not investment advice.