TLDR:
- Trump Media has acquired $2B in Bitcoin, shifting two-thirds of its complete belongings into digital forex for a brand new treasury technique.
- A utility token is in growth to energy providers throughout Fact Social, Fact+, and Fact.Fi underneath Trump Media’s crypto roadmap.
- The corporate plans to launch Bitcoin-based monetary merchandise, together with ETFs focusing on each retail and institutional traders.
- Regardless of a $39.5M Q1 loss, Trump Media’s inventory rose 5.6% after the Bitcoin information, signaling market curiosity in its crypto shift.
Trump Media and Expertise Group has bought $2 billion price of Bitcoin and associated belongings, signaling a significant shift in its enterprise technique. The corporate, which owns Truth Social, confirmed the acquisition on Monday as a part of its new cryptocurrency treasury plan. The transfer marks a key growth as the corporate transitions from a media-focused model to 1 with a rising funding portfolio in digital belongings.
Trump Media Shifts to Bitcoin-Backed Asset Technique
Trump Media acknowledged that the $2 billion in Bitcoin now accounts for about two-thirds of the corporate’s $3 billion in complete belongings. This huge acquisition is a part of a broader plan first shared in Might 2025 to boost $2.5 billion for constructing a Bitcoin reserve.
Within the press release, Trump Media CEO Devin Nunes stated, “We’re rigorously implementing our publicly introduced technique and fulfilling our Bitcoin treasury plan.” The corporate plans to proceed growing its Bitcoin holdings whereas creating new monetary merchandise across the digital forex.
This technique goals to place Trump Media as a crypto-focused funding agency. It comes as different firms, like Strategy, proceed to increase their digital asset reserves. Trump Media has additionally dedicated $300 million towards buying choices for extra Bitcoin-related securities, which can be transformed into Bitcoin relying on market circumstances.
Utility Token and Crypto Companies within the Works
As a part of its plan, Trump Media additionally introduced it’s engaged on a brand new utility token designed to be used throughout the Fact Social ecosystem. This token is predicted to help providers on Fact Social, the streaming platform Fact+, and Fact.Fi, its monetary providers model.
The corporate says digital belongings won’t solely present liquidity however may also assist shield in opposition to restrictions by conventional monetary establishments. “These belongings assist guarantee our Firm’s monetary freedom and can create synergies with the utility token we’re planning,” stated Nunes.
This token undertaking aligns with current laws signed by President Trump, who’s the biggest shareholder in Trump Media. The GENIUS Act, now legislation, introduces a federal framework for digital belongings, together with stablecoins. Trump Media’s announcement follows carefully after the launch of USD1, a stablecoin backed by the U.S. greenback, developed by crypto startup World Liberty Monetary in partnership with BitGo.
Market Response and Monetary Efficiency
Following the announcement, shares of Trump Media (DJT) rose by 5.6% to $19.71 on Monday morning. The rise got here after a protracted interval of underperformance. The inventory remains to be down 42% because the starting of the yr.
Within the first quarter of 2025, Trump Media reported $821,000 in income, up barely from $770,000 in the identical interval in 2024. Regardless of this development, the corporate reported a quarterly working lack of $39.5 million, which is decrease than the $98.3 million loss from the earlier yr.
The corporate’s shift into crypto belongings is predicted to help new income streams. Trump Media goals to introduce monetary merchandise like exchange-traded funds (ETFs) backed by Bitcoin. These funds would goal each retail and institutional traders searching for publicity to digital currencies.
As digital asset costs proceed to rise, Trump Media’s treasury technique follows an identical path to that of Technique, which owns over 600,000 Bitcoins. With Bitcoin buying and selling above $118,000 and up over 70% within the final yr, the market might proceed to draw firms all for storing worth digitally.