Trump Media’s Bitcoin Bet Fails to Halt $54.8M Loss
The post Trump Media’s Bitcoin Bet Fails to Halt $54.8M Loss appeared on BitcoinEthereumNews.com.
The company’s holdings include 11,542 Bitcoin and over 746 million Cronos tokens. Meanwhile, Binance co-founder Changpeng “CZ” Zhao recently said he was surprised by his recent presidential pardon from Donald Trump, and denied any business ties with the former president or his family. Trump Media and Technology Group (TMTG), the company behind President Donald Trump’s Truth Social platform, reported a steep third-quarter loss despite holding an impressive Bitcoin treasury and expanding its crypto portfolio. The firm posted a net loss of $54.8 million for the quarter ending Sept. 30, which was more than the $19.3 million loss that was recorded during the same period last year. Revenues declined slightly to $972,900, down from just over $1 million a year earlier. This means that the company is still struggling to translate its political brand recognition into sustainable financial performance. Shares of Trump Media closed Friday at $13.10 after slipping 1.73% before inching up marginally to $13.20 in after-hours trading. The stock fell more than 61% year-to-date, due to investor skepticism despite the firm’s aggressive push into digital assets. Trump Media & Technology Group YTD share price (Source: Google Finance) According to its earnings report, Trump Media held 11,542 Bitcoin as of Sept. 30, worth roughly $1.23 billion at recent market prices. The company began purchasing Bitcoin in May after a $1.5 billion stock sale and a $1 billion convertible bond offering, which positioned cryptocurrency as a key part of its investment strategy. TMTG also revealed that it generated $15.3 million in realized income from Bitcoin options investments and posted $33 million in unrealized gains from its holdings of Cronos (CRO), the native token of the Cronos blockchain. As of September, the company held more than 746 million CRO tokens, valued at around $0.18 each. In August, Trump Media entered into an…
