Trump Media to raise $3.85 billion to spend on cryptocurrencies, FT reports
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The capital raise is expected to be announced ahead of a major crypto investor meeting this week, the FT report said.
PHOTO: REUTERS
Bengaluru - US President Donald Trump’s social media firm, Trump Media & Technology Group, plans to raise about US$3 billion (S$3.85 billion) to spend on cryptocurrencies such as Bitcoin, the Financial Times (FT) reported on May 26, citing people familiar with the matter.
Trump Media aims to raise US$2 billion in fresh equity and US$1 billion more through a convertible bond, the report said.
The terms, timing and size of the company’s capital raise could still change, the FT report said.
Trump Media Group responded to a Reuters request for comment by calling both Reuters and the Financial Times “fake news” outlets. The White House did not immediately respond to a request for comment.
The company behind Truth Social, a streaming and social media platform, has been exploring potential mergers and acquisitions as it aims to diversify into financial services.
In April, Trump Media reached a binding agreement to launch various retail investment products, including crypto and exchange-traded funds aligned with Trump’s America First policies.
This, however, has attracted scrutiny from government ethics and regulatory authorities.
The company’s capital raise is expected to be announced ahead of a major crypto investor and advocate meeting this week, the FT report said, adding that US Vice-President J.D. Vance and Mr Trump’s sons Donald Jr and Eric are expected to speak.
Bitcoin rose 1.7 per cent to US$109,525 on May 26. Last week, it surpassed US$111,000 for the first time on mounting institutional demand and support from the Trump administration. REUTERS
