Trump Media and Technology Group (TMTG), a company backed by US President Donald Trump, has announced plans to raise $2.5 billion through the provision of stocks and convertible memos to buy Bitcoin, according to a May 27 statement.
This planned purchase will help the company reach the top 10 corporate Bitcoin holders worldwide. Currently, strategies (formerly micro-strategic) own the largest and largest ciphers. Over 580,000 BTC is its reserve.
According to Cryptoslate data, pioneering crypto prices have exceeded $110,000 after being traded sideways for most days following Trump Media’s planned BTC purchase news.
However, TMTG’s own shares fell 8%, down to $23.57 at press time, according to data from Google Finance.
Trump Media Bitcoin Reserve
Under these terms, TMTG will issue approximately $1.5 billion in common stock and $1 billion in zero coupon convertible notes.
The funding round includes commitments from nearly 50 institutional investors and is expected to close by May 29, when standard terms are pending.
The company said it has appointed Crypto.com and Anchorage Digital to detain digital assets.
Trump’s media CEO Devin Nunes described the move as a fundamental step towards positioning Bitcoin as a core retention that aligns with the company’s broader mission.
He said:
“This investment will help protect us from harassment and discrimination by financial institutions that plague many Americans and American companies.”
The company’s balance sheet already has around $759 million in assets in a range of assets, including cash, cash equivalents and short-term investments.
The movement of deepening cryptography in Trump Media
Nunes explained that the movement of Bitcoin Reserve is consistent with the company’s broader crypto plans, saying:
“(This) creates a synergy between subscription payments, utility tokens, and other planned transactions via True Social and Truth+.
In particular, the company previously revealed plans to develop utility tokens and digital wallets to support the Truth+ Streaming platform.
TMTG is also working with Crypto.com to launch a new series of digital assets that bundulate digital assets such as Bitcoin and Cronos into traditional financial products.
It is mentioned in this article
