Nvidia CEO's China Ties Spark $450 Billion Selloff After Short-Seller Report

Nvidia CEO Jensen Huang's ties to a suspected Chinese spy, first flagged by short-seller Culper Research in May, have triggered a $450 billion drop in the chipmaker's valuation over two days and an internal investigation. Culper's 40-page report highlighted Huang's relationship with Alice Huang, a former executive at Singapore-based Megaspeed, which U.S. intelligence suspects of being linked to China's Ministry of State Security. The firm alleged over 20% of Nvidia's FY 2026 compute revenues came from China via illegal GPU diversion through Southeast Asian intermediaries, citing corporate filings and social media posts. Culper, named after the Revolutionary War spy ring, noted Megaspeed's rapid growth from minimal assets to $2.9 billion in Nvidia-powered server purchases within a year, with alleged Alibaba financing. Nvidia's stock has since fallen 25% from its May price, and the firm's report has gained renewed attention following recent revelations.