At one point in 2020, Trevor Milton was hailed as the next Elon Musk. His electric vehicle company, Nikola, was on fire, his paper net worth had just brushed $12 billion, and for a brief moment, his startup was more valuable than Ford. Fast forward to 2024, Milton is 42 years old and has a drastically reduced net worth of $250 million—along with a four-year federal prison sentence looming over his head. So, what happened?
How Did Trevor Milton Rise to Fame?
Trevor Milton’s journey started with humble roots and an ambitious drive. He dropped out of college early and jumped into sales and marketing, eventually starting an alarm business he sold for $300,000. That sale gave him the capital to chase bigger ventures—like an online used car business and then dHybrid, Inc., an alternative energy vehicle company.
But the real turning point came in 2015, when Milton founded Nikola Motor Company, initially based in Utah and later moved to Phoenix, Arizona. With an eye on electric trucks and hydrogen-powered semis, Milton tapped into the booming EV market, a space dominated by giants like Tesla.
What Made Nikola Such a Big Deal?
Nikola’s real breakout moment came in June 2020, when it went public through a SPAC merger—a trendy move that allowed private companies to go public faster than traditional IPOs. Investors went wild. Just one week after listing, Nikola’s market value hit $30 billion.
To put that in perspective, Nikola had no major products, no real revenue, and had never delivered a single commercial vehicle. In fact, its second-quarter 2020 revenue was just $36,000, all from installing solar panels at one of Milton’s personal properties. Still, hype and speculation drove the valuation through the roof.
At the peak, Milton’s 40% ownership in Nikola made him worth nearly $12 billion—all on paper.
What Went Wrong at Nikola?
The house of cards started to wobble in September 2020, when a damning report accused Milton and Nikola of misleading investors. One of the most viral allegations involved a promotional video that showed a Nikola truck cruising down a desert road. It turned out, the truck wasn’t running on its own power—it was simply rolling downhill.
That revelation sparked a deeper investigation into the company’s claims and business practices. Days later, Milton resigned as Executive Chairman. As part of the exit deal, he forfeited $166 million in stock options and a $20 million consulting contract, but he got to keep around 92 million shares, which were worth over $3 billion at the time.
Was Trevor Milton Convicted of Fraud?
Yes—Milton’s fall wasn’t just financial. In July 2021, he was indicted on securities and wire fraud charges, accused of knowingly misleading investors to pump Nikola’s stock.
He pleaded not guilty and was released after posting a $100 million bond. But the evidence kept stacking up. In October 2022, he was found guilty on three counts—two of wire fraud and one of securities fraud.
Then in December 2023, Milton was sentenced to four years in federal prison, far less than the 11 years prosecutors had sought. As of now, he has appealed the conviction and remains free on bond while awaiting the outcome.
How Much Has Trevor Milton Lost Since 2020?
From being a paper billionaire to fighting a criminal conviction, Milton’s wealth has plummeted. At his peak, he was worth almost $12 billion, thanks to his huge Nikola stake. By mid-2022, that stake had dropped to 20%, and he had already sold around $400 million worth of shares.
However, the stock value continued to slide as the company’s credibility and performance took hits. His remaining shares, once worth billions, are now worth a fraction of that. Today, his estimated net worth is around $250 million.
What Assets and Luxuries Did He Acquire?
Milton definitely enjoyed his billionaire status while it lasted. In 2019, he bought a jaw-dropping 2,670-acre ranch in Utah for $32.5 million, setting the record for the most expensive residential purchase in the state. The ranch features an 8-bedroom, 17,000-square-foot mansion, complete with a helipad.
He also splurged on aviation. Milton bought a $6 million Gulfstream private jet—from a Nikola board member, no less—and paid for it using Nikola stock. He later added two more planes to his personal fleet.
What’s the Future for Milton and Nikola?
Milton may still own a portion of Nikola, but his influence is long gone. When he resigned in 2020, he agreed not to vote his shares against the company’s board for at least three years. And with a fraud conviction on his record, his future in public business is clouded at best.
As for Nikola, the company continues to operate under new leadership. While it’s made efforts to distance itself from its controversial founder, it still faces an uphill battle in a fiercely competitive EV market.
