Trump Media Raises $2.5B for Bitcoin Treasury Strategy
- Trump Media has announced a $2.5 billion fundraising to create its corporate Bitcoin treasury.
- DJT shares fall 10% following the announcement, down another 1.9% Wednesday.
- The move expands Trump Media beyond a social platform, including trademark filings for three ETFs.
Trump Media and Technology Group Corp. (DJT) announced a $2.5 billion fundraise from institutional investors to create one of the largest Bitcoin treasury allocations by a public company, according to a press release.
The company entered subscription agreements with approximately 50 institutional investors for $1.5 billion in common stock and $1 billion in convertible notes, according to the filing. DJT shares fell 10% following Tuesday's announcement and dropped another 1.9% as of midday Wednesday.
DJT Moves Into Financial Services
The Bitcoin treasury strategy represents Trump Media's expansion from a social media platform into financial services, positioning the company to capitalize on cryptocurrency adoption while building reserves outside traditional banking systems.
The offering is expected to close May 29, according to the company. Trump Media intends to use proceeds entirely for Bitcoin purchases, which will be held alongside $759 million in existing cash and short-term investments as of the first quarter.
CEO Devin Nunes called Bitcoin an "apex instrument of financial freedom" in the announcement. The move aims to "defend our Company against harassment and discrimination by financial institutions," according to Nunes.
Crypto.com and Anchorage Digital will provide custody services for the Bitcoin holdings, according to the filing. The same partnership recently enabled Trump Media's planned exchange-traded fund launch through its Truth.Fi brand.
Read More: Trump Media and Crypto.com Team Up for Truth.Fi ETF Launch
Bitcoin Treasury Expansion
The fundraising follows Trump Media's broader financial services push, including trademark filings for three ETFs under Truth.Fi: the Truth.Fi Made in America ETF, the Truth.Fi U.S. Energy Independence ETF and the Truth.Fi Bitcoin Plus ETF. Those funds will combine digital assets with "Made in America" securities across multiple sectors.
The company plans to invest up to $250 million of its own reserves into these products through Charles Schwab as custodian, according to previous filings. Bitcoin custody will be split between Crypto.com and Anchorage Digital.
Trump Media operates the Truth Social and Truth+ streaming platforms alongside its expanding Truth.Fi financial brand. The company reported $3.6 million in revenue and a $400 million net loss in 2024, according to CNBC.
The Bitcoin allocation joins a growing trend of politically aligned businesses converting corporate treasuries to cryptocurrency. Michael Saylor's Strategy Inc. (MSTR) popularized the strategy, holding over $40.6 billion in Bitcoin as of May 25, according to a company filing.
