Tiny Company With China Ties Announces Big Purchase of Trump Cryptocurrency

A Chinese-linked company, GD Culture Group, has revealed an unexpected plan. The company announced its intention to raise $300 million through an investment deal.

Chinese-linked company, Culture Group, has announced an unexpected plan to raise $300 million through an investment deal. The funds will be used to acquire both Bitcoin and , a cryptocurrency with strong ties to the U.S. President Donald Trump.

Tiny Company With China Ties Announces Big Purchase of Trump Cryptocurrency

The company, which employs a small workforce and generates limited earnings from its TikTok operations, disclosed its investment plans on Tuesday. It aims to sell shares to a British Virgin Islands company, renowned for its tax advantages, as part of the deal.

Following the announcement, shares of GD Culture Group soared by 12% immediately. However, the stock's price dropped the following day, showcasing the rapid shifts that can occur in such transactions.

Earlier this year, several foreign companies, including those from China, displayed interest in investing in digital assets linked to Trump. These companies are seeking to expand their businesses in new markets and diversify their investment portfolios.

The launch of $TRUMP in January sparked interest among investors and crypto enthusiasts. Many view the Trump cryptocurrency as a token used for gambling and has no practical purpose.

The firm did not provide specific details on why it would be investing in $TRUMP but said the move could help improve the company's financial standing.

However, others say the foreign endorsement of memecoins could influence Trump's decisions in the business and political spheres.

Charles Dent, the former head of the House Ethics Committee, spoke out against the move, arguing that foreign nations are making these investments to gain Trump's favor. He highlighted the moral, legal, and constitutional implications of such investments.

The company has yet to confirm whether it will complete the purchase. GD Culture Group has been struggling financially and could be delisted from the Nasdaq exchange.

Also, the exact amount of the investment that has been secured is still to be determined. If this investment goes through, Culture Group would be the first Chinese company to buy into Trump's memecoin.

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