Trump Media and Technology Group (TMTG), the company that owns President Donald Trump’s true social platform and partially owns, has confirmed its $2.5 billion in funding to buy Bitcoin (BTC) after rejecting previous reports of the transaction.
According to a May 27 announcement from the company, Capital Raise consists of $1.5 billion in stock sales and $1 billion in convertible senior secured bonds, with a 0% coupon. The sale is scheduled to end on May 29th. TMTG CEO Devin Nunes said:
“We view Bitcoin as the pinnacle of financial freedom, and Trump Media holds cryptocurrency as a key part of its assets. This investment will help protect us from harassment and discrimination by financial institutions.”
A TMTG spokesperson responded to the Financial Times’ initial report, which was released one day before the announcement.
“Apparently, the Financial Times has a stupid writer listening to some ridiculous sources,” a representative from TMTG told FT.
TMTG shares fell more than 12% after the announcement, trading around $23.60 at the time of publication.
Funding contracts are because more and more companies and countries are adopting the Bitcoin Treasury strategy as digital assets mature into geopolitical and important financial products.
Related: Bitcoin 2024 Conference Caused a 30% Price Crash – Can the Bulls escape this year?
Bitcoin finance companies continue to accumulate
Several Bitcoin finance companies increased their holdings in May this year, including Michael Saylor’s strategy. According to SaylorTracker, the company acquired an additional 4,020 BTC on May 26th.
Technology company Semler Scientific has purchased over $50 million in 455 BTC for its Treasury, an acquisition disclosed on May 23.
Investor Metaplanet has been widely declared by investors as a Japanese micro strategy, and on May 19th, it acquired an additional 1,004 BTC.
Market analyst Jesse Myers recently predicted that large entities will own 50% of their total Bitcoin supply by 2045 at the current institutional accumulation rate.
Myers added that the growth in the facility’s adoption is driven by flights from traditional asset classes to safety.
“In the past two years, leaving fiat assets (bonds and money) has already begun. Hard money assets, BTC and gold are where things are changing,” an analyst wrote in the X-Post May 22nd.
Magazine: Metric Signal $250K Bitcoin is the “best case”.
