U.S. President Donald Trump’s media company took a significant step into the crypto space on Wednesday with the launch of a fintech brand that may invest in bitcoin and other cryptocurrencies, as well as crypto-related securities.
On Wednesday, Truth Social parent Trump Media and Technology Group announced its board had approved the launch of a financial services and FinTech brand, Truth.Fi, leading to a more than 15% jump in the company’s shares during premarket trading.
“To diversify the Company’s cash and cash-equivalent reserves of over $700 million as of December 31, 2024, the board has approved the investment of up to $250 million to be custodied by Charles Schwab.,” the press release noted.
The company stated that the investment capital will be allocated to traditional investment vehicles, separately managed accounts (SMAs), exchange-traded funds (ETFs), as well as bitcoin, other cryptocurrencies, and crypto-related securities. Trump holds more than 50% of Trump Media and Technology Group, the parent company of the social media platform Truth Social.
Set to Launch in 2025, Pending Approvals
“We look forward to launching Truth.Fi, introducing TMTG’s investment vehicles, and unlocking synergies,” noted TMTG CEO and Chairman Devin Nunes.
“Truth.Fi is a natural expansion of the Truth Social movement. We began by creating a free-speech social media platform, added an ultra-fast TV streaming service, and now we’re moving into investment products and decentralized finance. Developing American First investment vehicles is another step toward our goal of creating a robust ecosystem through which American patriots can protect themselves from the ever-present threat of cancellation, censorship, debanking, and privacy violations committed by Big Tech and woke corporations.”
The company expects to launch Truth.Fi products and services, including various investment options, in 2025, once new agreements are finalized, funding is secured, and regulatory approvals are obtained. Truth.Fi follows the launch of the Trump memecoin, which debuted just before the inauguration and generated billions in on-paper gains for the Trump Organization and its affiliates.
Source: https://coinpedia.org/news/trump-media-launches-truth-fi-to-invest-in-crypto-and-fintech/