Trump Media & Technology Group (TMTG), the operator of Truth Social and related platforms, has completed a massive $2.44 billion private placement aimed at turning the company into one of the largest corporate holders of Bitcoin among U.S.-listed firms.
The move underscores a dramatic shift in the company’s financial strategy as it deepens its commitment to digital assets and seeks to redefine its future within what it describes as the “America First economy.”
The company secured the $2.44 billion through two primary vehicles:
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- A common stock offering of 55.86 million shares priced at $25.72 each, raising approximately $1.44 billion.
- A convertible note issuance totaling $1 billion. These are 0% senior secured notes due in 2028, which can be converted to equity at $34.72 per share.
The net proceeds—approximately $2.32 billion after fees—will be primarily allocated toward acquiring Bitcoin and supporting general corporate operations. According to a company press release, crypto platforms Crypto.com and Anchorage Digital will provide custodial services for the firm’s expanding Bitcoin holdings.
A Crypto-First Pivot
The move reflects Trump Media’s growing commitment to a crypto-first strategy. CEO Devin Nunes, a former U.S. congressman and staunch Trump ally, framed the deal as an expression of financial independence.
“This capital raise enables us to advance our business and execute on our long-term vision,” he said, describing the Bitcoin investment as a hedge and a foundation for future growth.
This pivot follows other recent crypto-aligned initiatives by Trump Media, including partnerships with Crypto.com to launch crypto-themed ETFs and explore decentralized financial services through the company’s apps—Truth Social, Truth+, and Truth.Fi.
The shift positions Trump Media alongside firms like MicroStrategy and GameStop, which have used capital raises and debt financing to amass substantial crypto holdings. However, Trump Media’s balance sheet now makes it one of the most liquid U.S. companies with direct exposure to Bitcoin, with more than $3 billion in liquid assets post-deal.
Shareholder Dilution and Loss of Trump Majority
One side effect of the offering was the dilution of existing shareholders, including Donald Trump himself, who saw his majority stake fall from 52% to 41.5%. This means that Trump, while still the largest individual shareholder, no longer holds a voting majority—a development that introduces potential governance implications. Analysts noted that this could open the door for activist investors or dissenting shareholders to gain more influence in corporate decisions.
Shares of DJT initially fell earlier in the week but recovered following the announcement of the capital raise. The stock closed higher Friday and showed renewed investor confidence in the company’s evolving direction. Nevertheless, DJT stock remains down over 36% year-to-date, raising questions about how long investor optimism can be sustained given the volatility of the company’s chosen asset—Bitcoin.
Political and Regulatory Overhang
The announcement comes as Donald Trump has openly embraced cryptocurrency in contrast to the regulatory skepticism seen during the Biden administration. The Trump administration recently backed the idea of a federal cryptocurrency reserve using seized digital assets and has rolled back some enforcement measures against major crypto platforms, including Coinbase, Kraken, and Robinhood.
However, the political proximity between the Trump administration and Trump Media has not gone unnoticed in Washington. Senator Elizabeth Warren has already raised concerns over potential conflicts of interest. She has specifically questioned Trump Media’s plans to expand into ETF offerings, citing the need for transparency and regulatory oversight given the company’s links to the president.
A High-Risk, High-Reward Future
While Trump Media now boasts a formidable war chest and a clear crypto focus, it also faces substantial risks. Bitcoin remains a volatile asset, and the company’s ability to translate this bold financial maneuver into long-term shareholder value is uncertain. Analysts say the real test will come not from Bitcoin’s market swings alone, but whether Trump Media can monetize its media, finance, and tech platforms in a way that complements its crypto treasury.
It is believed that the company, which still derives most of its attention from Trump’s political presence, is betting on financial engineering rather than product innovation. Supporters, however, see the move as a game-changing pivot toward decentralized financial empowerment.
Either way, Trump Media’s $2.44 billion Bitcoin plunge places it at the heart of America’s crypto experiment—and squarely on Wall Street’s radar.