Elon Musk warns America will ‘1,000%’ go bankrupt. Now he’s the world’s 1st trillionaire

Jing PanMon, June 15, 2026 at 6:40 PM UTC

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Elon Musk glances over one shoulder, dressed in a black suit and clean white shirt.

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Elon Musk just became the world's first trillionaire.

Not just the world's richest person. A trillionaire.

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The staggering milestone came after SpaceX's (NASDAQ:SPCX) historic IPO, which instantly cemented the rocket company as one of the most valuable businesses on the planet — and sent Musk's already massive fortune into uncharted territory.

According to Forbes (1), Musk's net worth now stands at $1.2 trillion, thanks largely to his 38% ownership in SpaceX (including options) and 10% stake in Tesla (NASDAQ:TSLA).

And it's not just the number itself. It's how massive that number is relative to the entire U.S. economy.

The New York Times (2) reported that when oil tycoon John D. Rockefeller's fortune was at its peak, his net worth was equal to about 1.5% of U.S. gross domestic product. Musk's net worth is now equivalent to more than 3% of U.S. GDP.

But here is the detail that makes the moment even more striking.

The same man who just became the richest person on the planet has also been publicly warning that America is headed for catastrophic bankruptcy.

His exact words, spoken on the Dwarkesh Podcast in February 2026:

"We are 1,000% going to go bankrupt as a country and fail as a country, without AI and robots. Nothing else will solve the national debt."

He also said the country is "actually totally screwed because the national debt is piling up like crazy."

And that may not be as much of an exaggeration as it sounds.

According to the Treasury Department (3), U.S. national debt now stands at $39.22 trillion — and it continues to grow as federal spending outpaces revenue. So far in fiscal year 2026, the government has already spent about $1.25 trillion (4) more than it has collected.

So let's get this straight.

The man who just became the first trillionaire in history is warning that America is going bankrupt.

What can ordinary investors learn from that?

'Debt death spiral'

Musk is not the only one sounding the alarm over America's debt problem.

Ray Dalio, founder of the world's largest hedge fund, Bridgewater Associates, has warned that the U.S. is heading toward a "debt death spiral," where the government must borrow simply to pay interest — a vicious cycle that feeds on itself.

But unlike Musk, Dalio doesn't foresee a formal bankruptcy.

"There won't be a default — the central bank will come in and we'll print the money and buy it," he said. "And that's where there's the depreciation of money."

In other words, the government may never technically run out of dollars — but those dollars can lose value fast. Musk has warned in the past that if current trends continue, "the dollar's going to be worth nothing."

That erosion in the value of the dollar is already visible. According to the Federal Reserve Bank of Minneapolis (5), $100 in 2026 has the same purchasing power as just $11.74 did in 1970.

That's right. $100 became less than $12.

So what can investors do about it?

Dalio has pointed to one time-tested asset in particular — gold.

"People don't have, typically, an adequate amount of gold in their portfolio," he said. "When bad times come, gold is a very effective diversifier."

Gold has long been considered a go-to safe haven. It can't be printed out of thin air like fiat money and because it's not tied to any single currency or economy, investors often flock to it during periods of economic turmoil or geopolitical uncertainty, driving up its value.

Over the past five years, as inflation continued to chip away at the purchasing power of the dollar, gold has climbed 135%.

Other prominent voices see further potential. JPMorgan CEO Jamie Dimon has said that in this environment, gold can "easily" rise to $10,000 an ounce.

One way to invest in gold that also provides significant tax advantages is to open a gold IRA with the help of Priority Gold.

Gold IRAs allow investors to hold physical gold or gold-related assets within a retirement account, thereby combining the tax advantages of an IRA with the protective benefits of investing in gold. This can make it one option for those looking to help shield their retirement funds against economic uncertainties like the ones Musk, Dalio and Dimon are warning about.

When you make a qualifying purchase with Priority Gold, you can receive up to $10,000 in precious metals for free. You can also download a free information guide if you want to read more about gold first.

Read More: Millionaires under 43 hold just 25% of their wealth in stocks — here is where their money is going instead

What Musk actually does

Here is where the story gets interesting.

Musk is not wrong to worry about the national debt. The numbers are alarming.

But while he is warning about Washington's fiscal math, he is not betting against America. He is doing the opposite.

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Musk built Tesla into a company that helped define the electric-vehicle era. He built SpaceX into a rocket giant. He folded xAI into the SpaceX story. And now, after taking the company public at a $1.77 trillion valuation, he has become the first trillionaire in history.

That is the contrast at the heart of the story.

Musk says AI and robots may be the only forces powerful enough to solve America's debt problem. So what is he doing?

He is building — and owning — the companies tied directly to that future.

In other words, Musk is not waiting for a collapse. He is betting on the solution.

Of course, most people are not going to build the next Tesla or SpaceX.

But they can still apply the same basic principle: own pieces of productive assets that can grow over time.

In fact, that is the proven strategy long championed by legendary investor Warren Buffett.

"American business – and consequently a basket of stocks – is virtually certain to be worth far more in the years ahead," Buffett wrote (6) in 2017.

Crucially, investors do not need to identify the next SpaceX to benefit. Simply owning a broad slice of American business can be enough.

"In my view, for most people, the best thing to do is own the S&P 500 index fund," Buffett has famously stated (7). This approach gives investors exposure to 500 of America's largest companies across a wide range of industries, providing instant diversification without the need for constant monitoring or active trading.

The beauty of this approach is its accessibility — anyone, regardless of wealth, can take advantage of it. And, with the right tools, investing in an index mapped to America's future is easier than ever. For example, Acorns, a popular automatic investment app, can put your spare change to work by investing it directly into a fund tracking America's best and brightest companies.

How it works is simple: Make an account, link your cards and Acorns will round up each purchase to the nearest dollar, investing the difference — your spare change — into a diversified portfolio.

With Acorns, you can invest in an S&P 500 ETF with as little as $5 — and, if you sign up today with a recurring monthly investment, Acorns will add a $20 bonus to help you begin your investment journey.

For investors interested in individual stocks, research tools like Moby can also come in handy. Their team of former hedge fund analysts does the heavy lifting — breaking down the market, flagging quality stocks and making the research easy to digest.

In fact, across nearly 400 stock picks over the past four years, Moby's recommendations have beaten the S&P 500 by almost 12% on average. Their research keeps you up-to-the-minute on market shifts and takes the guesswork out of choosing investments.

Plus, their reports are easy to understand for beginners, so you can become a smarter investor in just five minutes.

Own more than stocks

Stocks are not the only way to build wealth through ownership.

Real estate has long been another powerful wealth-building tool in America. It is tangible. It can generate rental income. And over time, property values have often benefited from inflation, limited supply and rising replacement costs.

That matters in a world where Musk is warning about debt and a weakening dollar.

In a March 2022 discussion (8) on X about inflation, Musk offered a straightforward piece of advice: "As a general principle, for those looking for advice from this thread, it is generally better to own physical things like a home or stock in companies you think make good products, than dollars when inflation is high."

Musk had a point.

If the government tries to borrow, print or inflate its way out of trouble, investors may want exposure to assets that are not simply paper claims on cash. Real estate fits that description.

When inflation rises, property values often increase as well, reflecting the higher costs of materials, labor and land. At the same time, rental income tends to go up, providing landlords with a revenue stream that adjusts with inflation.

Of course, buying a rental property outright is not easy. Home prices remain high. Mortgage rates have made financing more expensive. And being a landlord isn't exactly hands-off work — managing tenants, maintenance and repairs can quickly eat into your time (and returns).

The good news? You don't need to buy a property outright — or deal with leaky faucets — to invest in real estate today. Mogul is a crowdfunding platform that offers an easier way to get exposure to this income-generating asset class.

As a real estate investment option offering fractional ownership in blue-chip rental properties, it gives investors monthly rental income, real-time appreciation and tax benefits — without the need for a hefty down payment or 3 a.m. tenant calls.

Founded by former Goldman Sachs real estate investors, the team hand-picks the top 1% of single-family rental homes nationwide for you. In other words, you gain access to institutional-quality offerings for a fraction of the usual cost.

Each property undergoes a rigorous vetting process, requiring a minimum 12% return even in downside scenarios. Across the board, the platform features an average annual IRR of 18.8%. Offerings often sell out in under three hours, with investments typically ranging between $15,000 and $40,000 per property.

Sign up for an account and browse available properties here to start investing today.

Another option is Lightstone DIRECT, which gives accredited investors access to single-asset multifamily and industrial deals.

Lightstone DIRECT's direct-to-investor model ensures a high degree of alignment between individual investors and a vertically-integrated, institutional owner-operator — a sophisticated and streamlined option for individual investors looking to diversify into private-market real estate.

With Lightstone DIRECT, accredited individuals can access the same multifamily and industrial assets Lightstone pursues with its own capital, with minimum investments starting at $100,000.

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Article Sources

We rely only on vetted sources and credible third-party reporting. For details, see ourethics and guidelines.

Forbes (1); The New York Times (2); U.S. Department of the Treasury (3), (4); Federal Reserve Bank of Minneapolis (5); Berkshire Hathaway (6); CNBC (7); @elonmusk/ X (8)

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

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Source: “AOL Money”