Liquidating Large Share Holdings

There is no way you'd be able to cash out $1.3M if most of the liquidity is simply not there, the price would crater immediately. You'd have to sell to yourself.

Also knowing how pro corporate the legal system is piercing the veil and going after everyone holding the stock would have been unlikely. So getting 1,5 billion out of them likely could have been reasonable move. Otherwise they could have just burned all the money and flipped what was leftover to someone else, with uncertain price and horizon.

Does this mean selling the shares now to get $1B cash or they keep the shares floating around and sell them as they need cash?

His company has value. As long as he didn’t dump all the shares at once he could surely unwind his stake to the market. We’re not talking about bitcoin or beanie babies here. There’s an underlying asset.

He can only share his shares and assets at 400B if the market thinks they're worth 400B, and if there are enough buyers for all 400B. And once he starts selling, the market might re-evaluate the worth of the shares.Isn't Twitter a good counterpoint? I vaguely recall Musk had a hard time liquidating shares to buy it?

Why sell all? They could’ve sold in stages and thus, still hold some BTC that make them millionaires.

Only if he could barter Tesla stock for the apartments, or by liquidating very very slowly, so as to not crash the value of the rest of his shares (so he can keep doing this). Unfortunately, neither are very realistic (ignoring, of course, that Musk would never do this in the first place).

If you can liquidate $500,000 worth of shares, that means you still have at least $3,500,000 worth of shares in a company that has no plans to ever go public.

This is not true. They can sell a fraction of shares, or get loans against collateral, and have $billion of cash is to spend.

Someone has to buy and liquidate all that stock. Seems unlikely.