Neuralink Insiders Are Selling Shares, Startup Now Valued At $5 Billion

Neuralink, the brain implant startup backed by Elon Musk, is valued at $5 billion.

That’s up from $2 billion just two years ago.

What Happened: Recent purchases from investors triggered Neuralink's 150% leap.

Backers anticipate a company announcement that U.S. regulators approve of a brain chip human trial that took place on May 25.

Reuters reports that commercial use clearance could be several years away, citing sources.

Read Also: Flaming Teslas Aside, Elon Musk Wants To Insert Chips In Your Brain And People Don’t Like It

Neuralink’s shares were marketed to investors at a $7 billion valuation, or $55 per share. It could not be confirmed whether the shares were purchased at this price.

The valuation spike came from secondary trades carried out by existing shareholders, meaning that early backers and employees who have equity in the company are selling behind closed doors.

It’s worth noting that Musk took Twitter private at $54.20 per share — an ode to his ongoing adolescent "69/420" inside joke.

Musk maintains that Neuralink chips could be used for multiple applications, including treating mental health conditions and enabling telepathy.

In the shorter term, a more modest aim is to assist paralyzed individuals to communicate through computerized text without typing.

Read next: Elon Musk Says Neuralink Is The Only Way To Survive And Compete With AI