China-backed GD Culture Group Invests $300M in Trump Coin

According to reports from The New York Times and the Russian Satellite News Agency, another technology company potentially associated with China and operating e-commerce

A small public company with a branch in Shanghai, China, and a subsidiary focused on e-commerce on a short video platform is planning to use a portion of a $300 million fund to purchase Bitcoin and Trump coin, according to a statement released this week and reported by The New York Times.

The company, GD Culture Group, is already listed on NASDAQ.

According to reports from the Russian Satellite News Agency, the funds used to purchase Trump coins would come from selling a certain stake in the company to another legal entity, but it did not disclose the buyer of that stake, and it is only known that it is another offshore company located in the British Virgin Islands.

Even more incredible is that GD Culture Group is just a small publicly listed company, whose stock trades on NASDAQ (NASDAQ stock code: GDC), and the company currently consists of only 8 employees. GD Culture Group Limited, headquartered in Nevada, USA, mainly conducts business through its subsidiaries AI Catalysis Corp. and Shanghai Xianzhui Technology Co., Ltd.

Since Trump returned to the White House in January this year, as a cryptocurrency, $TRUMP has been snatched up by some global investors, with many investors outside the U.S. unabashedly wishing to express their loyalty to the U.S. president in this way.

According to investigative reporter Eric Lipton of The New York Times, GD Culture Group's intention to invest in Trump Coin is somewhat obscure. The company stated in its announcement that it hopes to 'enhance its balance sheet through high-performance, scalable digital assets.' However, it is still unclear whether the company will implement the announced content, and it is also unclear how much of the $300 million fund obtained from unidentified investors has been received.

Last month, the company disclosed that due to failing to meet certain financial requirements, GD Culture Group might even lose its qualification for listing on NASDAQ. If GD Culture Group ultimately completes the massive transaction of purchasing Trump coins, it will become the second known Chinese-related company to venture into Trump coins.

The company acknowledged in its financial disclosures that its subsidiary Shanghai Xianzhui may be affected by requests from the Chinese government, stating, 'The Chinese government may intervene or influence its business at any time.' This was stated in the annual report released in March. However, GD Culture Group’s statement did not mention any policy objectives, and the company’s CEO Wang Xiaojian (phonetic) stated that they are undergoing 'industrial transformation' through cryptocurrency and are 'strengthening our financial foundation.'

As a subsidiary of GD Culture Group, Shanghai Xianzhui Technology Co., Ltd. currently has no verifiable confirmation information online.

Charles Dent, a former Republican congressman from Pennsylvania and former chairman of the U.S. House Ethics Committee, commented on the overseas investor interest in Trump Coin, saying: 'Make no mistake, these foreign entities and governments clearly want to appease the president.'

'This is completely crossing the line, raising various ethical, legal, and constitutional issues that must be addressed.'

Three days before Trump’s inauguration for a second term as U.S. president, he began selling $TRUMP, one of several latest cryptocurrency investments he and his sons have made. The price of this cryptocurrency briefly soared before plummeting just as quickly, causing investors to lose billions. However, some investors outside the U.S. have clearly stated that they wish to influence Trump through their purchases.

In recent weeks, however, the Trump family's business dealings with foreign entities have faced increasing opposition in Washington.

For example, Connecticut Democratic Senator Christopher Murphy detailed for 20 minutes in the Senate the various overseas sources of funds flowing into the Trump family business, including meme coins, a real estate deal involving the Qatari government, and a $2 billion cryptocurrency deal with a company supported by the United Arab Emirates. Murphy said, 'If a small-town mayor were to sell a chance to meet him for $1,000 at city hall, he would surely be kicked out of town, but that is exactly what Trump is doing in the Middle East and around the world.'

Just last month, Trump and his business partners announced they would invite the 220 buyers who purchased the most of this cryptocurrency to dinner with Trump at his golf club in Virginia in late May, sparking another round of frantic cryptocurrency trading, further benefiting the Trump family.

According to an analysis by The New York Times and cryptocurrency analytics firm Nansen, many of the buyers this time come from overseas countries, including Mexico, Singapore, and Australia.

However, under U.S. federal law, foreign investors have long been prohibited from donating to political campaigns or presidential inauguration funds — so the emergence of Trump cryptocurrency actually provides a new gray avenue for some overseas buyers to financially support Trump.

In April of this year, Fr8Tech, a shipping company based in Mexico, announced that it would invest $20 million to purchase Trump’s meme coin as a way to 'advoc