SEC Approves Trump Media's $2.3B Bitcoin Treasury
SEC Approves Trump Media's $2.3B Bitcoin Treasury
The United States Securities and Exchange Commission (SEC) has approved Trump Media & Technology Group's registration of a $2.3 billion Bitcoin treasury transaction. This significant development, announced on June 13, 2025, allows the company to incorporate Bitcoin as a core asset and signifies a major step into the cryptocurrency market.
The filing, made on June 6th, covers the resale of 56 million equity shares and 29 million shares related to convertible notes. This significant capital raise, involving around 50 investors, bolsters the company's financial position, adding to its existing $759 million in cash and short-term investments.
Strategic Move into Cryptocurrency
CEO Devin Nunes highlighted the company's aggressive growth strategy, stating, "We are quickly developing our fintech brand, social media platform, and streaming service and accumulating a Bitcoin treasury to support the Patriot Economy." This follows a trend among publicly traded companies, such as MicroStrategy, to hold Bitcoin as a reserve currency. The registration includes a universal shelf provision, offering flexibility for future capital raises, although there are no current plans to issue new securities.
Broader Implications for Trump Media
This SEC approval strengthens Trump Media's financial position and establishes it as a player in the crypto market. The company also filed for a Bitcoin exchange-traded fund (ETF) on June 5th, aiming to provide investors with regulated access to Bitcoin's price performance. If approved, this ETF would further diversify Trump Media's offerings beyond its Truth Social platform.
While the 85 million shares to be resold raised some concerns about dilution, the company's stock closed at $19.52 on June 13th, down 2.06 percent. The SEC's decision underscores the growing institutional acceptance of Bitcoin, potentially encouraging other companies to adopt similar strategies.
Trump Media's cryptocurrency strategy aligns with broader market trends. Companies like GameStop have also invested in Bitcoin treasuries, seeking to capitalize on potential price increases. This approval further validates Bitcoin's role as a corporate asset within regulated environments.
Crypto.com and Anchorage Digital will secure Trump Media's Bitcoin assets. According to Nunes, this strategic shift aims to protect Trump Media from financial discrimination and create synergies between its Truth.Fi fintech brand and Truth+ streaming platform.
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