Trump Media and Technology Group (TMTG), the company behind former President Donald Trump’s Truth Social platform, recently put an end to the speculation around its involvement with Bitcoin by officially confirming a $2.5 billion capital raise aimed at purchasing the cryptocurrency. This confirmation comes after the company initially dismissed reports of the deal, only to reverse course with an official statement on May 27.
The substantial capital raise consists of a $1.5 billion stock sale coupled with $1 billion in convertible senior secured bonds that carry a 0% coupon rate. This deal, slated to close by May 29, marks a significant pivot for TMTG, which now views Bitcoin as a key asset in its portfolio. Devin Nunes, the CEO of TMTG, articulated the company’s evolving stance clearly:
“We view Bitcoin as an apex instrument of financial freedom, and now Trump Media will hold cryptocurrency as a crucial part of our assets. This investment will help defend our Company against harassment and discrimination by financial institutions.”
Interestingly, the initial denial of the deal saw TMTG’s representatives dismissing the Financial Times report, which first broke the news, in rather harsh terms, calling it the product of “dumb writers” relying on unreliable sources. Yet within 24 hours, the company confirmed the deal, underscoring the dramatic shift in narrative.
Following the announcement, shares of TMTG experienced a noticeable drop, falling more than 12% to trade around $23.60 at the time of reporting. This market reaction likely reflects investor uncertainty about the company’s move into cryptocurrency, a relatively volatile and still emerging financial sector.
This bold move by TMTG reflects a broader trend in corporate America and beyond, as more companies and governments recognize Bitcoin’s growing stature as a strategic financial asset. With Bitcoin increasingly seen as a hedge against traditional financial risks and geopolitical uncertainty, it’s becoming an essential part of treasury management for various institutions.
In May alone, a number of prominent companies significantly increased their Bitcoin holdings. Michael Saylor’s firm, Strategy, added more than 4,000 BTC to its stash on May 26, according to data from SaylorTracker. Meanwhile, Semler Scientific, a technology firm, revealed the purchase of 455 BTC—worth over $50 million—in a public filing on May 23. Similarly, Japan’s MetaPlanet, often likened to MicroStrategy in terms of Bitcoin investment strategy, acquired an additional 1,004 BTC on May 19.
Market analyst Jesse Myers highlighted this growing institutional appetite for Bitcoin, projecting that if current trends continue, large institutions could control up to half of all Bitcoin in circulation by 2045. Myers attributes this surge in adoption largely to investors fleeing traditional fiat assets like bonds and cash in favor of “hard money” alternatives such as Bitcoin and gold.
“Over the last two years, we’ve seen a notable flight from fiat assets. Bonds and cash are losing favor, while hard assets like BTC and gold are increasingly the go-to for those seeking safety and stability,” Myers commented in a recent post on social media platform X.
This institutional embrace is reshaping the Bitcoin market from a niche digital currency into a globally relevant financial instrument. For TMTG, the investment represents not just a financial strategy but a symbolic stance on financial freedom and resilience in the face of perceived systemic biases by traditional financial institutions.
As Bitcoin continues its journey from speculative asset to mainstream financial tool, TMTG’s sizable capital raise might signal a growing confidence among corporate players that Bitcoin is here to stay—and could play a crucial role in future treasury management strategies.
