In a significant expansion of its financial strategy, Trump Media and Technology Group (TMTG), the parent company of Truth Social, has registered up to $12 billion in new securities with the SEC. According to the S-3 filing submitted on Thursday, the company plans to issue up to 84,657,181 shares of Common Stock 1 2.
This move comes just days after TMTG closed a substantial $2.44 billion fundraising deal aimed at establishing a bitcoin treasury. The company has been rapidly expanding its presence in the cryptocurrency space, with several major announcements in quick succession 3 4.
Recent Crypto Initiatives
TMTG has been making waves in the cryptocurrency sector with a series of strategic moves:
• On June 5, the company filed an S-1 registration statement with the SEC for its Truth Social Bitcoin ETF 5
• The proposed ETF would hold bitcoin directly, with assets consisting “primarily of bitcoin held by a custodian on behalf of the Trust” 5
• Crypto.com is set to act as the exclusive custodian, prime execution agent, and liquidity provider for the ETF 5
• The company has partnered with Yorkville America Digital to launch a suite of exchange-traded funds under the Truth.Fi brand 4
The Bitcoin ETF filing is particularly notable as it would add to the existing 11 spot Bitcoin ETF products currently trading in the U.S. market 2.
Market Impact
DJT shares closed at $20.12 on Thursday, experiencing an 8% decline following news of President Trump’s disagreement with Elon Musk 2. This market reaction highlights how closely the company’s performance is tied to its high-profile majority owner.
The registration for new shares comes at a time when TMTG appears to be positioning itself as a significant player in the cryptocurrency space. The company’s CEO, Devin Nunes, has indicated that TMTG is exploring all elements needed for growth, including acquiring what he termed “crown jewel assets” 4.
“These activities will provide the Company with the capital, assets, independence, flexibility, and security we need to fulfill our goals of rapid expansion, guaranteeing a wide array of ways to access the capital markets when it’s most advantageous to do so,” Nunes stated 4.
Strategic Direction
The recent filings suggest TMTG is pursuing a multi-faceted strategy that combines traditional equity offerings with significant cryptocurrency investments. The $2.3 billion Bitcoin treasury deal represents a major commitment to digital assets 4 1.
While the company has not disclosed exactly how much Bitcoin it plans to purchase, the filing indicates the funds will be used to acquire Bitcoin and for general corporate purposes 4. Additionally, the filing includes a universal shelf provision that offers flexibility for future initiatives such as mergers and capital raising offerings 4.
These moves position Trump Media at the intersection of social media and cryptocurrency, potentially creating new synergies between Truth Social’s user base and cryptocurrency investors.
