Magic Johnson has become a billionaire, surpassing the previous wealth barrier of $1 million.

Forbes claims that the 64-year-old’s ownership stake in the insurance provider EquiTrust is the main source of his wealth.

The article claims that Johnson oversaw the asset tripling of the corporation. Ten years ago, they were valued at $16 billion.

According to CNN, he became a billionaire because of his investments in professional sports teams, such as the Los Angeles Dodgers of Major League Baseball and the Los Angeles Sparks of the Women’s Basketball Association. According to media reports, he had a financial stake in the Los Angeles Lakers, his previous NBA team, from 1994 to 2010.

After thirteen seasons with the Los Angeles Lakers, the athlete was abruptly fired in 1991, leaving behind a $40 million (about $110 million in inflation-adjusted earnings) salary.

In an earlier All The Smoke episode, Johnson apologized for turning down Nike’s offer to pay in shares in 1979.

My family has faced difficulties because I come from a low-income background. It is impossible to know without starting with money. Johnson admitted on the show, “At the time, I had no idea what stocks were.”

On the other hand, Johnson disclosed on the show that he had opted to bargain for a deal that would provide him a $100,000 advance per year.

According to Business Insider, Johnson would have been paid $1 for each pair of sneakers sold and would have been eligible to win 100,000 Nike shares under the terms of the contract.

As a result, I decided not to buy the stocks. It is plausible, isn’t it? Johnson said on the show that after 45 years, the value of $5 billion worth of shares would have doubled.

As per Forbes, Johnson becomes the fourth athlete behind Michael Jordan, LeBron James, Tiger Woods, and himself to have earned $1 billion in earnings.