SpaceX just landed the largest IPO in history. The rocket company priced shares at $135, aiming for a staggering $1.77 trillion valuation. It’s the kind of debut that makes Wall Street sit up and take notice.

Elon Musk holds a controlling stake, meaning he’s on track to become the world’s first trillionaire. Tesla’s $1.2 trillion valuation suddenly looks modest. SpaceX’s public debut combines its space ambitions with Musk’s AI ventures, including his startup xAI.

The IPO raised eyebrows for its unusual terms. Instead of a typical price range, SpaceX set a fixed price. Demand reportedly quadrupled initial expectations, pushing potential funds raised from $75 billion to $250 billion. Regulators and some politicians, like Senator Elizabeth Warren, called for caution over valuation and accounting transparency.

SpaceX’s business is sprawling. It includes Starlink satellite internet, the X social media platform, and xAI. The company, however, is not profitable. Last year, it posted $18.7 billion in revenue but lost $4.3 billion operating. That puts it in a different league from tech giants like Meta, which pulls in hundreds of billions.

Investors face a volatile ride. The stock is heavily influenced by Musk’s control—he owns about 85% of voting power. The company’s future depends on ambitious projects like Starship and Starlink reaching profitability. Shares will quickly enter index funds, exposing everyday retirement accounts to SpaceX’s roller-coaster potential.

For employees, the IPO is a jackpot. Thousands stand to become millionaires overnight. But for investors, the risks are clear. SpaceX’s valuation hinges on future success in space colonization and AI, fields known for long timelines and brutal competition.

The timing fits a banner year for AI IPOs. Competitors like OpenAI and Anthropic also plan public offerings, attracting attention and capital. SpaceX’s combination of space tech and AI positions it uniquely—but also complicates its valuation.

Wall Street is watching closely. The frenzy around SpaceX reflects a broader trend: investors hungry for the next frontier, whether it’s AI or outer space. But the price tag demands scrutiny. This IPO isn’t for the faint of heart.