Key Takeaways
- Trump Media plans to raise $3 billion to buy Bitcoin.
- The offering includes $2 billion in equity and $1 billion in bonds.
- Bitcoin reached a record high of $109,000 last week.
Trump Media & Technology Group (TMTG), the company behind Truth Social and controlled by the Trump family, plans to raise $3 billion to purchase Bitcoin and other digital assets, according to six people familiar with the effort.
Details of the capital raise
The capital raise will include $2 billion in new equity and $1 billion through a convertible bond.
While the size and timing may still change, two sources said the offering has been upsized due to strong demand.
The announcement could come ahead of a major Bitcoin investor event in Las Vegas this week, where Vice President JD Vance, Donald Trump Jr., Eric Trump, and Bitcoin advisor David Sachs are expected to appear.
Response to Financial Times reporting
TMTG dismissed the Financial Times’ reporting, saying:
Apparently the Financial Times has dumb writers listening to even dumber sources.
They offered no further comment.
Impact of the Trump administration’s Bitcoin embrace
The Trump administration’s embrace of Bitcoin has triggered a wave of deals.
Last week, the price of Bitcoin hit a new high of $109,000.
TMTG’s strategy mirrors that of MicroStrategy, which has amassed tens of billions of dollars in Bitcoin through similar financing.
TMTG’s market value and Trump’s stake
TMTG’s current market value stands at nearly $6 billion, with shares trading at $25.72 as of Friday.
Trump, who won re-election last year, transferred his 53% stake in the company — worth about $3 billion — to a trust overseen by Donald Trump Jr.
The Trump family’s Bitcoin ventures
The Trump family’s Bitcoin ventures also include NFT trading cards, memecoins, and stakes in mining and stablecoin ventures.
