Trump Media to Buy Bitcoin Worth $2.5 Billion in Historic Deal

Trump Media and Technology Group Corp. (Nasdaq, NYSE Texas: DJT), the company behind Truth Social, Truth+, and the emerging FinTech brand Truth.Fi, has

Trump Media and Technology Group Corp (NASDAQ, NYSE Texas: DJT), the parent company of Truth Social, Truth+, and the emerging FinTech brand Truth.Fi, has announced a significant capital raise of $2.5 billion.

The company is issuing common stock and convertible senior secured notes to fund an ambitious expansion strategy, which includes building a Bitcoin treasury and integrating new products and services.

Trump Media has signed subscription agreements with approximately 50 institutional investors for the issuance and sale of:

$1.5 billion of common stock at a price of $25 per share.

$1.0 billion of convertible senior secured notes with an interest rate of 5.25% per annum, a premium of 20% over the share price on the fifth day prior to the closing of the Offering, and a five-year maturity. The notes will be convertible into shares of Trump Media common stock at a rate of 35.71 shares of common stock per $1,000 principal amount of notes.

The Offering is expected to close by May 29, 2025, subject to customary conditions.

Among the key initiatives that Trump Media plans to undertake with the capital are:

The creation of a Bitcoin treasury through an initial purchase of $1.0 billion to $2.5 billion in Bitcoin. This investment will position Trump Media among the largest Bitcoin-holding public companies.

The integration of a utility token into Trump Media’s ecosystem. This token will offer users unique benefits and privileges across Truth Social, Truth+, and Truth.Fi.

An expansion of the company’s payment processing capabilities to include a wider range of cryptocurrencies and fiat currencies.

Integration of new products and services, such as email, cloud storage, and a voice-messaging service.

The pursuit of strategic acquisitions to expand Trump Media’s footprint in the technology, media, and financial sectors.

“We view Bitcoin as an apex instrument of financial freedom,” said Devin Nunes, CEO and Chairman of Trump Media. “Holding Bitcoin as part of our treasury will not only protect us against financial discrimination but also unlock new opportunities across Truth Social and Truth+ to expand our offerings and create even greater value for our users and shareholders.”

At the end of Q1 2025, Trump Media had cash, cash equivalents, and short-term investments of $759 million. The new capital from the Offering will be used to fund the company’s expansion plans, which also includes a new cryptocurrency.

Crypto.com and Anchorage Digital will provide services for the custody of Trump Media’s Bitcoin holdings.

Yorkville Securities and Clear Street are serving as co-lead placement agents for the Offering, while BTIG and Cohen & Company Capital Markets are co-placement agents. Cantor Fitzgerald is acting as financial advisor, and the legal advisors are Nelson Mullins and Reed Smith.

Trump Media’s move to raise a large sum and invest heavily in Bitcoin is a bold one, but it could pay off if the company can use the capital to expand its business successfully. The company is also planning to launch a new cryptocurrency, which could further enhance its offerings and appeal to investors.

Trump Media and Technology Group Corp is a company that is quickly expanding its horizons.