Trump Media’s Stock Drops Despite $2.5 Billion Bitcoin Treasury Announcement
Trump Media (TMTG) raised $2.5 billion from institutional investors, including $1.5 billion in common stock and $1 billion in convertible notes, to purchase Bitcoin as a core asset. The funding involved approximately 50 institutional investors and will be managed by Anchorage Digital and Crypto.com. Despite the announcement, shares of Trump Media fell 10%, with the stock down nearly 30% this year. The company has a market capitalization of about $5.3 billion, with revenues of $3.6 million and a loss of $400 million in 2024. CEO Devin Nunes described Bitcoin as an “apex instrument of financial freedom,” citing systemic discrimination against conservative businesses. Trump Media plans to launch ETFs and digital asset products in partnership with Crypto.com, pending regulatory approval. This initiative aligns with a trend of politically aligned businesses converting to Bitcoin-heavy portfolios.
