SpaceX IPO turned 2016 options into at least $1.35 million each; same Blue Origin options expired worthless under 2016 rules

SpaceX completed an IPO that produced a valuation exceeding $2 trillion, turning 9,000 options granted in 2016 into at least $1.35 million for a hypothetical holder, Business Insider reported. The same number of options issued at Blue Origin under its 2016 plan yielded zero payout because they could be exercised only upon an IPO or sale and expired after 10 years.

Blue Origin introduced its original stock equity plan in early 2016.

In a February 2016 email to employees, Jeff Bezos described the options as "long-term lottery tickets that might pay off if a series of things go right" and stated he "wouldn't recommend" employees change financial plans expecting a major payout. The plan restricted liquidity to an IPO or company sale and caused unexercised options to expire 10 years after the first vesting date.

Three former Blue Origin employees told Business Insider that their options are now worthless.

One former employee who joined from SpaceX said their SpaceX holdings are worth tens of millions of dollars while the Blue Origin options are worth nothing. " SpaceX granted options at hiring, annual reviews, promotions, and through retention packages, and allowed current and former employees to sell vested shares in private liquidity events held about twice per year.

Blue Origin employees commonly move between the two companies, and former staff described welders who became decamillionaires at SpaceX before working part-time at Blue Origin.

One former Blue Origin employee who turned down a SpaceX offer in 2020 said, "If I had taken that equity, I would be a millionaire now. " Blue Origin introduced a new stock option plan for current employees in April 2026 that includes liquidity events such as external funding rounds and company-sponsored tender offers. The company's New Glenn rocket exploded on the launch pad in May 2026.