According to a Financial Times report released today, Trump Media & Technology Group (TMTG), which operates Truth Social, plans to raise almost $3 billion in investments in cryptocurrencies, including Bitcoin.
The company plans to execute this significant capital raise using a two-pronged strategy: obtaining $2 billion through an equity offering and an additional $1 billion through a convertible bond. MicroStrategy, one of the world’s largest corporate Bitcoin holders, has adopted a similar strategy by using comparable debt and equity financing techniques.
The Bitcoin investment approach would represent a significant shift for TMTG, which has mostly concentrated on social media operations through its Truth Social platform. To further increase its presence in digital assets, the corporation is reportedly preparing to introduce an exchange-traded fund focused on cryptocurrency.
Bitcoin and Cryptocurrency Strategy Expectations
It is strategically crucial because the announcement might fall during this week’s large Bitcoin event in Las Vegas. Prominent Trump relatives and supporters are anticipated to attend, including US Vice President JD Vance, Donald Trump Jr., Eric Trump, and Bitcoin evangelist David Sacks, President Trump’s principal cryptocurrency advisor.
The $3 billion investment fund would likely start with Bitcoin purchases, in line with the corporate treasury approach that has become increasingly common among progressive businesses. Despite market volatility, early adopters like MicroStrategy have achieved substantial gains on their Bitcoin holdings, demonstrating the effectiveness of this strategy.
Trump Media Group Reaction
The company dismissed the Financial Times reporting in characteristically blunt fashion, stating that the newspaper “has dumb writers listening to even dumber sources,” while declining to provide further comment. Despite this denial, the detailed nature of the reporting and multiple source confirmations suggest that the plans are serious.
If it proceeds, this capital raise would rank among the largest corporate Bitcoin investment announcements in recent memory. This move may encourage other publicly traded corporations, particularly those aligned with the current administration’s pro-cryptocurrency stance, to adopt similar tactics.
READ MORE: Sam Bankman-Fried May Cut Over 4 Years Off His 25-Year Sentence for Good Behavior
