Nvidia CEO Jensen Huang resigns, sparking stock and crypto selloff

What happened

Nvidia said on Nov. 12 that co-founder Jensen Huang had resigned as chief executive, president and board member, effective immediately, ending a 33-year run at the company he helped found in 1993. The board named CFO Colette Kress interim CEO during a search for a permanent replacement and appointed Harvey Jones, a longtime director and former Synopsys executive, as chairman. Nvidia did not give a reason. CryptoSlate and Cryptonews.com both covered the announcement.

The market reaction was sharp. Nvidia shares fell as much as 10% in premarket trading to about $156, implying a market value near $3.8 trillion, roughly $2 trillion below October's peak of about $5.8 trillion, per CryptoSlate. CoreWeave fell more than 13% and Nebius about 20% in premarket trading, the outlet reported. Cryptonews.com said Nvidia perpetual futures on Hyperliquid dropped nearly 12% to $160.99, with similar moves on Binance, OKX and Bybit; CoinGlass data cited by the outlet showed more than $7.8 billion in cumulative volume, with Binance at about 44%.

Crypto markets also sold off. Bitcoin fell below $72,000, with CryptoSlate reporting a level under $71,500 and Cryptonews.com a drop below $72,000. Ether traded below $1,990 according to CryptoSlate, while Cryptonews.com put it under $1,900. CryptoSlate said both assets hit their lowest prices since August. The outlets tied the move to a wider retreat from risk assets after the Nvidia news.

Why it matters

Nvidia is central to the AI investment theme. Huang led its processor dominance and also oversaw a growing network of financial arrangements with companies that buy its hardware, CryptoSlate reported, so his exit raises questions about the financing model behind AI infrastructure as well as about leadership. Nic Puckrin of Coin Bureau warned that replacing Huang could backfire given his role in negotiating financing deals, according to CryptoSlate. The reaction also showed how quickly equity-market shocks can reach crypto traders through around-the-clock Nvidia derivatives.

What the data shows

Figures cited in the reports include the roughly 10% premarket drop in Nvidia shares, the implied $3.8 trillion market value and the nearly $2 trillion gap from October's peak. CoreWeave's more than 13% decline and Nebius's roughly 20% drop were also cited. CryptoQuant CEO Ki Young Ju said analyst sentiment hit -2.6 standard deviations, the most bearish on record, per CryptoSlate. An October study by the Bank for International Settlements found 55.2% of incoming AI investment value from 2021 to 2025 came from other AI businesses; 46.4% of that involved commercial relationships, equal to about 25.6% of overall value.

Background

CryptoSlate reported that the departure followed reports of extramarital relationships, including one involving a woman suspected by U.S. authorities of Chinese intelligence connections, and that Nvidia's board opened an independent investigation into allegations that remain unproven. Nvidia did not specify a reason. The chipmaker has also participated in circular financing: in January it invested $2 billion in CoreWeave, a cloud provider that buys its processors, alongside an agreement to accelerate CoreWeave's AI data-center buildout. CryptoSlate compared such arrangements to the late-1990s telecom boom, when equipment makers financed customers and later absorbed losses when demand weakened.

What is still unclear

Nvidia has not explained Huang's exit, the reported allegations are unproven, and the board investigation's conclusions are not public. No permanent CEO has been named. The two outlets also differ on exact crypto prices, reflecting fast trading conditions. It is not yet known whether the transition will change Nvidia's financing practices.

What to watch

Nvidia's Nov. 17 earnings call is the next scheduled checkpoint, CryptoSlate reported, and may show whether the leadership change affects its approach to financing customers and infrastructure. The permanent CEO search, any board investigation update and the wider debate over circular AI financing are also in focus. For crypto traders, Nvidia-linked perpetual futures remain a direct channel for equity volatility.

Questions readers ask