SpaceX's highly anticipated IPO is looming. Over a trillion dollars worth of stocks will be available for public trading.

SpaceX has kicked off one of the largest stock unlockings in the history of the capital markets, with up to $116 billion worth of stock becoming eligible for sale next month. Restrictions prohibiting certain insiders from selling up to 911.5 million shares of stock will be lifted on August 6, just two days after the rocket, satellite, and artificial intelligence company announced its quarterly earnings for the first time. This is just the beginning, as tens of billions of shares of stock will become eligible for trading by the end of the year. Investors are assessing the potential impact of this unusual phased unlocking arrangement over the coming months. After completing the largest IPO in history last month, SpaceX's stock price has struggled to regain its initial enthusiasm. With the unlocking of stock, early investors and investors who bought shares in the private market will seek to cash in on huge returns, while short sellers may increase their bearish bets.