|

Trump Media Group set to establish Bitcoin treasury after closing $2.4 billion deal

  • Trump Media and Technology Group announced that it has raised $2.44 billion in proceeds from its private offering to establish its Bitcoin treasury.
  • This comes barely a week after Trump Media announced it would offer up to $2.5 billion in common shares and convertible notes to establish a Bitcoin treasury.
  • Crypto.com and Anchorage Digital will serve as the official custodian of the company's Bitcoin treasury.

Nasdaq-listed Trump Media and Technology Group announced on Friday that it raised $2.44 billion by issuing part of its common stock (DJT) and senior convertible notes to purchase Bitcoin (BTC).

Trump Media closes $2.44 billion offering to purchase Bitcoin

Donald Trump-backed Trump Media and Technology Group has raised $2.44 billion to establish its Bitcoin treasury reserve, according to a press release on Friday.

The company stated it closed a private offering with approximately 50 institutional investors. The offering consisted of the sale of 55.8 million shares of its common stock at $25.72 per share, resulting in gross proceeds of $1.44 billion.

It also issued $1 billion in 0.0% convertible senior secured notes due 2028 at a conversion price of $34.72 per share. This brought total proceeds to approximately $2.44 billion. Trump Media plans to use $2.3 billion from the proceeds to create its Bitcoin treasury.

The funding comes just days after Trump Media announced it plans to generate up to $2.5 billion to buy Bitcoin. The company claims that its Bitcoin purchase would place it among the top public companies holding BTC.

It also stated that it will include Bitcoin on its balance sheet, alongside existing cash, cash equivalents and short-term investments worth $759 million as of the end of Q1‘25.

"Trump Media is focused on acquiring great assets, and this deal will give us the financial freedom to implement the rest of our strategies," said TMTG Chairman and CEO Devin Nunes in the press release.

Trump Media has tapped Crypto.com and Anchorage Digital to serve as custodians for its Bitcoin treasury.

Crypto.com's native token, CRONOS, is up 6% over the past 24 hours, extending its weekly gains above 5%.

The company announced a partnership with Crypto.com in March to launch exchange-traded funds (ETFs) through Crypto.com's broker-dealer, Foris Capital, via its Truth.Fi arm.

Author

Michael Ebiekutan

With a deep passion for web3 technology, he's collaborated with industry-leading brands like Mara, ITAK, and FXStreet in delivering groundbreaking reports on web3's transformative potential across diverse sectors. In addi

More from Michael Ebiekutan
Share:

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

By subscribing you agree to our Terms and conditions.

Editor's Picks

XRP steadies above $1.90 support as fund inflows and retail demand rise

Ripple (XRP) is stable above support at $1.90 at the time of writing on Monday, after several attempts to break above the $2.00 hurdle failed to materialize last week. Meanwhile, institutional interest in the cross-border remittance token has remained steady.

Cardano struggles to extend gains as retail interest wanes despite Midnight's NIGHT token launch

Cardano ticks higher after a bearish weekend, struggling to extend an upcycle within a descending wedge pattern. On-chain data shows an increase in trading volume and user activity after the Midnight side chain token launch.

Crypto Today: Bitcoin, Ethereum recover as XRP remains supported by ETF inflows

Bitcoin is trending up toward the pivotal $90,000 level at the time of writing on Monday, which marks four consecutive days of gains. Altcoins, including Ethereum and Ripple, are also rebounding above key short-term support levels.

Bitcoin nears $90,000 as recovery hopes clash with institutional outflows

Bitcoin is approaching the $90,000 resistance level at the time of writing on Monday, raising hopes of a short-term recovery. However, the bullish recovery is being challenged by weakening institutional demand, as evidenced by outflows from Spot ETFs.

Orange Juice Newsletter – Smart insights by real people. Every day.

A free newsletter highlighting key market trends to help traders stay a step ahead. Daily insights on the most relevant trading topics, compiled by our experts in an easy-to-read format so you never miss an important move.

Bitcoin: Fed delivers, yet fails to impress BTC traders

Bitcoin (BTC) continues de trade within the recent consolidation phase, hovering around $92,000 at the time of writing on Friday, as investors digest the Federal Reserve’s (Fed) cautious December rate cut and its implications for risk assets.