Trump Media & Technology Group Corp. (DJT) announced a significant investment of $2 billion in Bitcoin, marking a strategic shift towards cryptocurrency . This move aligns with the company's broader vision to position itself at the forefront of the digital asset revolution . The investment represents two-thirds of the company's $3 billion in total assets, underscoring its commitment to embracing the potential of Bitcoin .
This investment sparked a notable surge in DJT's stock price, which closed up 3% on Monday, reaching $19.25 per share after an intraday rise exceeding 5% . This positive market reaction reflects investor confidence in the company's strategic direction and the potential for Bitcoin to drive future growth . The stock continued to gain momentum in after-hours trading, rising an additional 0.78% to $19.40 .
Trump Media's decision to invest in Bitcoin comes at a time when the cryptocurrency market is experiencing significant legislative support . The company's move is in line with Trump-backed crypto bills that have been passed in the US House, which aim to foster a more favorable regulatory environment for digital assets . This alignment with legislative efforts further bolsters the company's position in the crypto space .
Devin Nunes, CEO and President of Trump Media, emphasized the company's unwavering focus on executing its publicly announced strategy . He stated that these assets are designed to secure the company's “financial independence” and protect it from potential discrimination by financial institutions . Furthermore, Nunes mentioned plans to introduce a utility token within the Truth Social ecosystem, which could enhance user engagement and create new revenue streams .
In addition to acquiring Bitcoin, Trump Media has allocated $300 million towards an “options acquisition strategy” focused on Bitcoin-related securities . This approach allows the company to capitalize on potential price fluctuations and maximize its returns . The company's Bitcoin treasury has already reached $2 billion, highlighting its substantial holdings in the digital asset .
Trump Media's ambitious plans include raising $2.5 billion to further expand its Bitcoin treasury . This approach, which blends public equity and debt issuance, has drawn inspiration from Michael Saylor's pioneering efforts at Strategy (previously MicroStrategy), where the company's transformation into a Bitcoin powerhouse began in 2020 .