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Trump Media puts $2.5 billion into Bitcoin day after denying rumors of $3 billion investment

Trump Media puts $2.5 billion into Bitcoin day after denying rumors of $3 billion investment

CryptopolitanCryptopolitan2025/05/27 19:01
By:By Jai Hamid

Share link:In this post: Trump Media raised $2.5 billion to build a Bitcoin treasury through private deals with 50 investors. The money came from $1.5B in stock and $1B in convertible notes with a 35% premium. CEO Devin Nunes said Bitcoin will protect the company from financial discrimination and support future products.

Trump Media and Technology Group is now holding Bitcoin on its balance sheet. The company confirmed on Tuesday that it raised $2.5 billion from around 50 institutional investors and plans to put all of it into Bitcoin.

That happened barely a day after publicly denying it was making a $3 billion investment. The deal includes $1.5 billion in Trump Media stock and $1 billion in zero-interest convertible notes. The stock was issued at the market price, and the notes have a 35% conversion premium. The private placement is set to close by May 29 if all standard conditions are met.

Trump Media wants crypto as part of its future business model

Devin Nunes, CEO and Chairman of Trump Media, said the company views Bitcoin as “an apex instrument of financial freedom.” In his words, “Now Trump Media will hold cryptocurrency as a crucial part of our assets.”

Devin explained the decision as a way to guard against what he described as “harassment and discrimination by financial institutions.” He added that the crypto will also support subscription payments, a utility token, and other financial activity inside the company’s platforms.

The company currently runs Truth Social, a social media platform, along with Truth+, its streaming service, and Truth.Fi, its financial tech branch. The company is planning to evolve into a holding firm that owns multiple “crown jewel” assets.

See also US ETF inflows hit $437 billion YTD as investors embrace volatility

This Bitcoin investment is being described internally as the first of such acquisitions. According to Devin, it fits the company’s America First economic goals.

The $2.5 billion will sit next to the $759 million the company already had in cash and short-term investments as of the end of Q1 2025. Crypto.com and Anchorage Digital have been appointed to handle custody of the Bitcoin. 

That part matters because it signals a long-term holding strategy rather than trading or speculation. Trump Media did not disclose how much Bitcoin would be bought with the cash or the exact timing but said this would be a formal treasury asset on the balance sheet going forward.

Deal includes major Wall Street players and legal firms

Several well-known financial firms are involved. Yorkville Securities and Clear Street acted as co-lead placement agents. BTIG and Cohen & Company Capital Markets worked as co-placement agents. Cantor Fitzgerald served as a financial advisor. 

On the legal side, Nelson Mullins Riley & Scarborough is representing Trump Media, while Reed Smith is advising the placement agents. The company also reiterated that this Offering officially ends the special acquisition fund it had previously opened to raise capital for deals tied to its political and financial ecosystem.

See also Victim loses $2.5M in copy-paste scam twice

Trump Media has been expanding aggressively into the crypto space. It recently signed a binding agreement to launch retail investment products. These include crypto-linked exchange-traded funds (ETFs) that align with Donald Trump’s economic agenda, who has repeatedly promoted an “America First” economic policy and has pushed for less federal oversight in the financial sector.

The Trump family has already entered various corners of the crypto market. They’ve rolled out Trump NFTs, supported a meme coin, taken equity in American Bitcoin, a newly formed mining firm, and backed the crypto exchange World Liberty Financial.

But they’ve also drawn attention from opposing lawmakers. Senator Elizabeth Warren, a Democrat, questioned the US Securities and Exchange Commission last month on whether it plans to regulate crypto ETFs being launched by Trump Media.

She raised concerns about political conflicts of interest and market integrity. Her inquiries followed Trump Media’s increased involvement in Bitcoin and other crypto products tied to the administration’s economic goals.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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