Moon Hotel Reservations Now Open
But Remember Virgin Galactic's 99% Crash?
A new startup’s bold claim of building the world’s first hotel on the Moon has captured imaginations this week, reviving excitement around space tourism. But for investors eyeing the volatile space sector, history offers cautionary tales.
GRU Space: Moon Hotel Reservations Open for 2032
California-based GRU Space, a startup founded in 2025, is now accepting applications for what it calls the first commercial hotel on the Moon. The company is led by 22-year-old founder Skyler Chan.
As of this week, ultra-wealthy aspirants can apply with non-refundable fees, followed by deposits up to $1 million. Approved applicants will enter a private auction in 2027.
While the hotel looks compelling with windows overlooking Earth, GRU remains private and early-stage, with no public stock impacted by the buzz.
Virgin Galactic: The Cautionary Tale of Space Tourism Hype
Investors chasing space dreams have seen this movie before. Virgin Galactic (SPCE), the poster child for commercial suborbital tourism, exemplifies extreme volatility.
SPCE went public via SPAC in 2019 and skyrocketed during the 2021 meme frenzy, peaking at over $1,200 per share for a brief +434% gain. Retail enthusiasm, celebrity flights, and promises of routine space tourism fueled the surge.
Reality hit hard: repeated delays, high cash burn, accidents, and minimal revenue led to a brutal decline. As of January 13, 2026, shares closed at $3.07, down 99.8% from the all-time high and 98.7% from inception levels.
SPCE’s story highlights the risks of pre-revenue space plays with the company still far from profitability.
SpaceX: Eyeing the Largest IPO Ever
Enter SpaceX, Elon Musk's space company achieved an $800 billion valuation in late 2025 private trading. The company is the leader in reusable rockets and government space contracts.
Latest reports confirm Musk’s plans for a 2026 public listing at a $1.5 trillion valuation, making it the biggest IPO in history.
A SpaceX IPO could supercharge the space sector, drawing institutional money and lifting related stocks. But if history repeats this IPO is initially going to be a volatile one.
Navigating Space Investment Risks
GRU Space’s lunar hotel reservations add fresh hype to space tourism, but as Virgin Galactic’s 99%+ wipeout shows, early-stage visions rarely translate smoothly to returns. SpaceX’s impending IPO offers a more grounded bet on the industry’s future leader.
The space sector continues to carry exceptional volatility and execution risk for public market participants.