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On Monday, August 5, just as technology stocks and AI stocks led the plunge in European and American stock markets, the latest news showed that Jensen Huang, co-founder and CEO of Nvidia, the "AI darling" and leading chip stock, sold a record-breaking $323 million worth of company stock in July.

Wall Street Journal mentioned that in June, Huang Renxun sold nearly $170 million of Nvidia stock, setting his personal record for the highest cash out in a single month. That is to say, before the August plunge, Huang Renxun sold a total of about $500 million of Nvidia stock in June and July.

Nvidia's stock price hit an all-time closing high of $135.58 on June 18, and then fell and then rose, closing at $135 on July 10, setting a second record high. Since then, it has been declining all the way and is currently down 26% from the closing on July 10.

On Monday, Nvidia led the decline of AI stocks in early trading, opening 15.5% lower and falling below $91. It then cut its decline in half to 7% and tried to stabilize above $100 per share. It fell for three consecutive days to a two-and-a-half-month low, and was nearly half of its 52-week high, entering a technical bear market.

The Bloomberg Billionaires Index shows that Huang Renxun, 61, had a personal net worth that briefly exceeded $100 billion in July, but has now fallen to $88.8 billion. In the first two trading days of August, Nvidia's stock price fell 8.3%, shrinking his net worth by $8.5 billion, and on Monday it shrank by another $4.8 billion.

In July, there were eight major market value plunges in the U.S. stock market, of which Nvidia accounted for half. On July 31, Nvidia surged nearly 13% in one day, increasing the company's market value by a record $329 billion and adding nearly $12 billion to Huang Renxun's wealth. In other words, Huang Renxun's wealth basically wiped out the one-day surge in late July in the first three trading days of August.

Huang Renxun was not the only internal executive to sell company stock in July. Regulatory documents show that Tesla director Mark Stevens sold about $125 million worth of stock that month, and Jay Puri, the company's executive vice president of global field operations, sold about $10 million worth of stock.

Nvidia insiders have cashed out more than $1 billion worth of stock since the beginning of the yearHuang Renxun's plan to reduce his holdings was disclosed in March this year. Including the latest sales data in July, he has cashed out a total of about US$1.4 billion since the beginning of 2020. He will reduce his holdings of Nvidia shares in August as planned, and will sell a total of 5.28 million shares from July this year to March next year.