Key Takeaways
Trump Media will raise $2.5 billion to create one of the largest Bitcoin treasuries among public companies.
The treasury deal includes $1.5 billion in common stock and $1 billion in convertible notes.
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Trump Media and Technology Group Corp (TMTG), which operates Truth Social and other Trump-branded media and technology platforms, announced Tuesday its plans to raise $2.5 billion in a bid to build a Bitcoin treasury.
The company will adopt a playbook akin to that of Michael Saylor’s Strategy, offering $1.5 billion in stock and $1 billion in convertible senior secured notes to a select group of roughly 50 institutional investors. The transaction is expected to close on Thursday, May 29.
In a Tuesday statement, Trump Media CEO Devin Nunes said the company views Bitcoin as the “apex instrument of financial freedom” and will now hold crypto as a key part of its corporate assets. Bitcoin briefly touched $110,700 on the company’s Bitcoin treasury plan, per TradingView.
“Our first acquisition of a crown jewel asset, this investment will help defend our Company against harassment and discrimination by financial institutions, which plague many Americans and US firms, and will create synergies for subscription payments, a utility token, and other planned transactions across Truth Social and Truth+,” Nunes noted. “It’s a big step forward in the Company’s plans to evolve into a holding company by acquiring additional profit-generating, crown jewel assets consistent with America First principles.”
The convertible notes will carry a zero percent interest rate and feature a conversion price set at a 35% premium. As of the end of Q1 2025, the company reported holding $759 million in cash, cash equivalents, and short-term investments.
Yorkville Securities, LLC and Clear Street LLC are serving as co-lead placement agents, with BTIG, LLC and Cohen & Company Capital Markets acting as co-placement agents. Crypto.com and Anchorage Digital will provide custody services for the Bitcoin treasury.
Crypto.com and Yorkville America Digital recently entered into a deal with Trump Media in a bid to bring America-first crypto ETFs to the market, including ones tied to Bitcoin and Cronos.
The announcement follows a Monday report from the Financial Times, which claimed that Trump Media was seeking to raise $3 billion through share sales.
According to the report, the net proceeds would be used to acquire Bitcoin and other crypto assets. The report also noted that the announcement was expected to precede the Bitcoin Conference, which begins today.
The event, the largest of its kind, features a lineup of high-profile figures, including Vice President JD Vance, Donald Trump Jr., Eric Trump, and the White House’s crypto czar, David Sacks. Michael Saylor is also scheduled to attend, along with other prominent industry leaders.
In the same report, the Financial Times said it contacted the company for comment and received a response alleging that the publication has “dumb writers listening to even dumber sources.”
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