Trump Media Group Targets Crypto Market With $3 Billion War Chest

• Trump Media and Technology Group is making plans to raise $3 billion to buy cryptocurrencies.
• They plan to follow the approach used by companies like Strategy, Metaplanet, and Semler Scientific, allocating part of their funds to Bitcoin.

Donald Trump’s media company, Trump Media & Technology Group (TMTG), is taking a swing at the crypto space. According to a recent report from the Financial Times, the company is planning to raise a massive $3 billion to invest in Bitcoin and other digital assets.

So, how exactly are they trying to raise that cash? The idea is to pull in $2 billion by selling shares, basically offering ownership in the company. Then they want to raise another $1 billion through something called a convertible bond. That’s a loan from investors that could later turn into company stock.

Timing-wise, the announcement might land during a major crypto event in Las Vegas, where some familiar names, Vice President JD Vance, Trump’s sons Don Jr. and Eric, and the group’s crypto go-to guy David Sacks, are all expected to take the stage. The final terms of the fundraising deal are still being worked out, so nothing’s set in stone just yet.

What’s interesting is that TMTG’s strategy is starting to look a lot like what other big players have been doing. Think Mara Holdings or Metaplanet, companies that are going all in on Bitcoin by using their cash to stack sats. And they’re not alone.

Take MicroStrategy, for example. They’ve been loading up on Bitcoin since way back in August 2020. As of now, they’re sitting on about 576,230 BTC, which is worth $62.8 billion at today’s prices. They bought in at an average of $69,726 per coin, and with the current market soaring, they’re up over 56%. Not a bad return at all.

Trump is No Stranger to Crypto

The Trump family has been dipping their toes in the crypto waters for a while now. In January, just before his inauguration as the 47th president of the United States, Donald Trump launched his meme coin, TRUMP. His wife, Melanie Trump, followed with her meme coin, MELANIA. The family also has its sights on mining ventures.

Last month, Eric Trump and Donald Trump Jr. partnered with the publicly traded bitcoin mining company Hut 8 to create American Bitcoin Corp, which may collaborate with World Liberty Financial. Now, they’re reportedly working on launching a cryptocurrency ETF with partners like Crypto.com and Yorkville America Digital.

One token that’s already making noise is USD1, a politically themed stablecoin tied to Trump himself, which is gaining traction fast. It’s now the 7th-largest stablecoin with a market cap of over $2.15 billion. The token’s trading volume has surged by 60.39% to $456 million.

The timing couldn’t be better. Bitcoin broke through its all-time high and is currently priced at $109,000. Companies are jumping in, and investors are looking for fresh opportunities. Since Trump returned to the political spotlight, he’s reportedly transferred his stake in TMTG, worth around $3 billion, into a trust managed by his son, Donald Jr.

TMTG’s stock is currently hovering around $25, putting the company’s market cap at roughly $6 billion. With this new fundraising push, that valuation could go even higher. Meanwhile, the TRUMP token is not riding on a bullish trend. In the last 24 hours, TRUMP experienced a 0.83% loss, setting the price at $12.7, pushing its market capitalization to $2.56 billion.

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