The gap between the future Elon Musk envisioned with cryptocurrency and reality — Insights from OpenAI's ICO plan

Recent internal documents reveal that Elon Musk was once deeply involved in OpenAI’s ambitious fundraising plans. At that time, the cryptocurrency market was experiencing rapid growth, and ICOs were gaining attention as a new fundraising method for startups. It is worth re-examining how this historic decision influenced the subsequent tech industry and cryptocurrency markets.

The era when Elon Musk supported OpenAI’s ICO plans

According to newly released internal memos, Elon Musk supported an initial coin offering (ICO) that OpenAI was considering in early 2018, aiming to raise approximately $10 billion. This decision was not just a temporary policy but was seriously considered as a concrete mechanism for OpenAI’s founders to establish a for-profit division while maintaining their mission as a non-profit organization.

A conversation record from January 2018 indicates that Elon Musk himself stated that OpenAI should conduct an ICO to raise about $10 billion. At that time, the ICO boom was at its peak between 2017 and 2018, with startups raising billions of dollars by directly selling tokens to the public. With regulatory rules unclear and investor enthusiasm high, this approach was seen as a quick alternative to traditional venture capital fundraising.

Reasons for policy shift—prioritizing AI race and shifting to Tesla

However, by the end of that month, the situation changed dramatically. The founders of OpenAI publicly announced that Elon Musk no longer supported the ICO plan. Musk concluded that the organization would not be able to raise sufficient funds and decided to cease further involvement. Instead, Elon Musk chose to focus his management resources on artificial intelligence research at Tesla.

This decision led to Musk’s complete departure from OpenAI in the second half of 2018 and significantly influenced the evolution of its organizational structure. As a result, OpenAI pursued a unique mission structure combining a public benefit corporation and a controlled non-profit organization, a model that still underpins its core operations today.

Elon Musk himself shifted his focus to acquiring X and developing AI at Tesla, somewhat distancing himself from the early cryptocurrency ideas intersecting AI and blockchain.

The cryptocurrency market in 2026—what has changed from the original vision

In 2018, the cryptocurrency market was dominated by token sales through ICOs. But now, after about 8 years, the market has evolved significantly. More sophisticated fundraising mechanisms such as DeFi (Decentralized Finance) protocols and NFT projects have emerged, leading to a qualitative transformation.

Currently, token-based fundraising is more transparent and subject to stricter regulations. The original Elon Musk × OpenAI concept was ahead of its time, but today, there are many more options available in the market.

Elon Musk effect? — Current crypto trends shown by HYPE and Pudgy Penguins

Interestingly, in 2026, projects related to Elon Musk and tokens influenced by his ideas still attract attention in the cryptocurrency market.

Hyperliquid’s native token, HYPE, has shown significant price movements amid active trading. As of January 2026, it trades at $31.85, with a 24-hour change of -5.87%. Originally a perpetual futures exchange for cryptocurrencies, Hyperliquid expanded its business through the HIP-3 upgrade to include tokenized trading of stock indices, individual stocks, commodities, and major fiat currency pairs, blending traditional assets with cryptocurrencies.

Meanwhile, Pudgy Penguins has risen as the strongest NFT-native brand in this cycle. It has gained users through mainstream channels via toy and retail partnerships, then guided them into Web3 through games, NFTs, and the PENGU token. The project has recorded over $13 million in retail sales and sold more than 1 million units. Its game “Pudgy Party” surpassed 500,000 downloads in just two weeks.

The rise of these projects suggests that Elon Musk’s 2018 envisioned future of cryptocurrency—where multiple industry sectors are integrated through crypto and tokens—is partially materializing.

Long-term impacts of Elon Musk’s decision

Elon Musk’s withdrawal from OpenAI’s ICO plans may have caused organizational conflicts in the short term. However, in the long run, it laid the foundation for OpenAI to build its current robust non-profit structure.

At the same time, the entire cryptocurrency market has learned from the early ICO boom and has evolved toward more mature market mechanisms. The decision Musk faced in 2018 exemplifies a typical dilemma at the intersection of crypto and tech industries, symbolizing the direction of subsequent market evolution and still holding contemporary significance.

Today, in 2026, the cryptocurrency market remains highly sensitive to Elon Musk’s statements and judgments, with his influence continuing to sway market sentiment, underscoring the importance of the original vision.