Trump Media to Invest $2.5 Billion in Bitcoin as Part of Major Financial Pivot
Trump Media & Technology Group, the company behind President Donald Trump’s Truth Social platform, announced plans Tuesday to invest approximately $2.5 billion in Bitcoin, signaling a dramatic expansion into the cryptocurrency and financial services sectors, as per Al Jazeera.
The company said it would raise the funds through the sale of $1.5 billion in stock at its most recent closing price, along with $1 billion in convertible notes priced at a 35 percent premium. The capital will be used to establish a substantial Bitcoin treasury, as part of what the company describes as a long-term strategy to diversify revenue streams and align with “America First principles.”
“We view Bitcoin as an apex instrument of financial freedom,” said Trump Media CEO Devin Nunes. “This is a big step forward as we acquire crown jewel assets that reflect our core mission and values.”
The Bitcoin assets will be held on the company’s balance sheet, alongside $759 million in cash and short-term investments reported at the end of the first quarter. Anchorage Digital and Crypto.com will provide custody services for the holdings.
The move is part of a broader effort by Trump Media to reposition itself beyond social media and into financial technology. Last month, the company signed a binding agreement to develop a suite of retail investment products, including cryptocurrency and exchange-traded funds (ETFs), tailored to policies associated with former President Trump.
Shares of Trump Media fell 6 percent in early trading on Tuesday following the announcement.
The Trump family’s involvement in crypto has expanded rapidly in recent years, with ventures spanning NFTs, a Trump-branded meme coin ($TRUMP), and equity stakes in digital asset firms such as the Bitcoin mining startup American Bitcoin and the crypto exchange World Liberty Financial.
The growing crypto focus has drawn criticism from lawmakers. Democratic Senator Elizabeth Warren recently pressed the U.S. Securities and Exchange Commission to explain how it intends to regulate financial products linked to Trump Media, including the pending launch of its ETFs.
Trump’s shift in stance on digital currencies has also raised eyebrows. During his presidency, he dismissed cryptocurrencies as “not real money” and warned of their volatility. But in recent months, his tone has changed dramatically.
In May 2024, at a campaign event at Mar-a-Lago, Trump reportedly received pledges of financial support from crypto industry leaders aiming to bolster his re-election bid. Just last week, Trump hosted a lavish dinner at his Virginia golf club for 220 top investors in the $TRUMP coin project, triggering renewed criticism over the blurring of personal profit with presidential duties.
