Trump Media Secures $2.5 Billion for Bitcoin Treasury in Major Financial Move

Trump Media, the operator of Truth Social and the emerging FinTech brand Truth.Fi, revealed on Tuesday a significant step in its financial strategy by securing subscription agreements with around 50 institutional investors. The private placement offering, totaling nearly $2.5 billion, will fund the establishment of a corporate Bitcoin treasury, positioning the company as a notable player in the crypto space.

The offering comprises $1.5 billion in Trump Media common stock and $1 billion in convertible notes, set at a conversion price reflecting a 35% premium. The proceeds will enable the company to incorporate Bitcoin into its balance sheet, alongside its existing $759 million in cash, cash equivalents, and short-term investments as reported at the end of the first quarter of 2025. This strategic allocation of funds highlights Trump Media’s intent to diversify its asset portfolio while aligning with the growing acceptance of cryptocurrencies in corporate finance.

Strategic Vision and Market Implications

The announcement follows weekend speculation that Trump Media was planning a $3 billion raise for cryptocurrency investments, a claim the company promptly denied. Clarifying its intentions, Trump Media’s CEO and Chairman Devin Nunes emphasized the transformative potential of this initiative.

He described Bitcoin as a cornerstone of financial freedom, noting that holding cryptocurrency as a core asset will shield the company from financial institution challenges that impact many American businesses. Nunes also highlighted potential synergies, including enhanced subscription payment systems and the development of a utility token, which could integrate seamlessly with Truth Social and the Truth+ streaming service.

The company has partnered with Crypto.com and Anchorage Digital to ensure secure custody of its Bitcoin treasury, reinforcing the credibility of its cryptocurrency endeavors. Truth.Fi, launched in January, has already been authorized to invest up to $250 million of its cash reserves in various assets, including Bitcoin and other crypto-related securities. This latest financial maneuver strengthens Trump Media’s position in the FinTech landscape, potentially attracting investors interested in the intersection of social media, finance, and digital currencies.