Las Vegas – Trump Media announced on Tuesday an increase of $ 2.5 billion institutional investors to finance one of Bitcoin’s largest assignments by a public company.
The company’s shares fell around 10% after the news.
It is the last and ambitious movement in its evolution of a social platform for freedom of expression to a financial services player.
The agreement includes $ 1.5 billion in ordinary shares and $ 1 billion in convertible notes, with income for the purchase of Bitcoin, which the company will now have as a central treasure asset. The company said it has subscription agreements with about 50 institutional investors.
The company also confirmed that Bitcoin will be carried out with Anchorage Digital and Crypto.com, the same platform that recently signed an agreement to help Trump Media to launch its first funds quoted in exchange.
The announcement occurs when Bitcoin approaches the maximum records and the largest meeting of the year of digital assets enthusiasts is launched in the Las Vegas Strip: Bitcoin 2025. The conference helped solidify the image of President Donald Trump as the first “cryptographic president” of the country.
This year, it is a full court press of Trump’s White House at the conference, with vice president JD Vance, Don and Eric Trump, Crypto Tsar David Sacks and other senior officials who attend.
The actions of Trump Media remain volatile, with shares down almost 30% this year so far. The company has a market capitalization of approximately $ 5.3 billion, despite informing only $ 3.6 million in revenues and a loss of $ 400 million in 2024.
Trump indirectly has more than 114 million actions of Trump Media through revocable trust.
Devin Nunes, the company’s CEO and former Congressman from California, called for Bitcoin an “instrument of financial freedom” and said that this was only the first of many acquisitions of “Crown Jewel” that the company would pursue.
He framed the movement as a defensive strategy, saying that it would help protect the company from what it described as “continuous discrimination by financial institutions” against conservative companies.
The firm has already signed an association with Crypto.com to bring a series of ETF and digital asset products to market at the end of this year, waiting for regulatory approval.
These funds will include cryptography baskets such as Bitcoin and the native token of Crypto.com, Cronos, along with traditional values. They will be qualified in Trump Media and will be offered to global investors in the main brokerage platforms and in the Crypto.com application, which has more than 140 million users worldwide.
The measure deepens Trump’s cryptographic footprint: World Liberty Financial, another entity affiliated with Trump, has already accumulated an important cryptographic reserve, and the president signed an executive order earlier this year designed to establish a bitcoin reserve and a separate cryptographic storage for the federal government.
The expansion of financial services is based on the increase in republican anger on bank discrimination against conservatives.
The leaders of the cryptographic industry have also been testifying in Capitol Hill about the struggle of the industry with the debate during the administration of President Joe Biden.
Trump himself expressed frustration with Bank of America and JPMorgan executives during a recent appearance in the World Economic Forum in Davos, accusing them of “locking” conservative clients.
The launch of Truth.fi, together with the growing popularity of cryptocurrencies linked to Trump, seems to be the private sector response.
The Bitcoin Treasury movement of $ 2.5 billion also follows a growing trend among politically aligned companies that are turning their corporate treasures into heavy vehicles of Bitcoins. It is a strategy popularized by Michael Saylor’s microstratege in 2020, but now turboized by the political movement and Trump’s cryptographic allies.
Jack Mallers is looking to rival the strategy with a new Bitcoin company backed by Tether and Softbank, and David Bailey, the architect behind another Bitcoin work linked to Trump, Nakamoto Holdings, recently led a fusion of $ 710 with the friendly medical care firm, which will change from the holistic opioid recovery to a crypto-Ful strategy.
Bailey, a Trump administration cryptographic advisor, described the work as: “Strategy, square.”
“Our total approach is to increase Bitcoin per action,” Bailey told CNBC, which describes the plans to acquire Bitcoin native companies in all the main capital markets.
