Tom Lee says trillions in tech IPO supply won't crash the S&P 500

Fundstrat co‑founder Tom Lee argues that potential mega‑IPOs from SpaceX, Anthropic and OpenAI — which could unleash “trillions” of post‑lockup equity supply — are unlikely to crash the S&P 500. He estimates the new supply could equal roughly 5%–6% of the S&P 500’s market capitalization but says large pools of underallocated capital (family offices, pensions, HNWIs) can absorb the flow as allocations rotate back to public equities. Lee also expects many early investors to hedge or borrow against stakes rather than sell immediately, reducing forced selling. He highlighted tokenisation and blockchain’s benefits (instant settlement, 24/7 trading, collateralization) as drivers of institutional interest, and noted crypto’s recent underperformance despite rising institutional attention. Overall, Lee’s view is that market structure and available capital should blunt downside from the wave of tech IPOs.