Trump Media Gets Green Light From SEC For $2.3 Billion Bitcoin Deal

SEC Approval

TMTG is a media company majority-owned by former President Donald Trump. It operates Truth Social, a social media platform focused on “free speech,” along with other services such as Truth+ (a streaming service) and Truth.Fi (a fintech brand). In recent years, TMTG has shifted its strategy, expanding from a media company to an integrated financial and cryptocurrency entity.

The $2.3 billion Bitcoin Treasury deal was announced on May 27, 2025, with plans to raise funds through the issuance of $1.44 billion in common stock (priced at $25.72 per share) and $1 billion in zero-coupon convertible bonds (conversion price at a 35% premium to market price).

About 50 institutional investors participated in the private offering, with companies like Crypto.com and Anchorage Digital acting as custodians for TMTG’s Bitcoin holdings. By June 6, TMTG had filed its S-3 form with the SEC, and its approval on June 13 officially paved the way for the plan.

The Bitcoin Hoarding Race Begins

TMTG’s announcement of its plans to purchase $2.5 billion worth of Bitcoin in late May sent Bitcoin prices soaring slightly, reaching $110,700 before correcting. With the SEC’s approval, TMTG can now make Bitcoin purchases, potentially creating significant buying pressure in the market.

Analysts compare the move to MicroStrategy's strategy, which has driven up Bitcoin's price significantly in the past thanks to large investments. If TMTG becomes one of the largest listed companies in the US that owns Bitcoin, it could spark interest from other institutional investors.

Despite the excitement surrounding the deal, TMTG shares fell 10% on May 27 and fell another 2.06% on June 13, closing at $19.52.

The decline may have been due to concerns about dilution, as TMTG issued an additional 56 million common shares and 29 million shares related to convertible bonds. This could dilute the value of the shares of existing shareholders, including former President Trump, who owns more than 114 million shares through a trust.

The deal comes amid a major push by the Trump administration to promote cryptocurrencies, with the signing of an executive order establishing a strategic Bitcoin reserve for the US government and reducing lawsuits against cryptocurrency companies.

The close association between TMTG and Trump’s policies could spark controversy, especially as lawmakers like Senator Elizabeth Warren have expressed concerns about the lack of oversight of TMTG’s crypto ETFs.

Conclude

The SEC’s approval of Trump Media’s $2.3 billion Bitcoin treasury deal is a bold move that marks the intersection of politics, media, and cryptocurrency. While the deal cements TMTG’s position as a pioneer in integrating Bitcoin into corporate strategy, it also comes with significant financial and regulatory risks.

The impact of this event is not limited to TMTG, but could shape the cryptocurrency investment trends of other listed companies, while also highlighting the growing role of Bitcoin in global finance. However, to make the most of this opportunity, TMTG will need to carefully manage risks and continue to innovate in a fiercely competitive market.

Once again we give our opinion on potential projects in the crypto market. This is not investment advice, consider your portfolio. Disclaimer: The views expressed in this article are solely those of the author and do not represent the platform in any way. This article is not intended to be a guide to making investment decisions.

Compiled and analyzed by HCCVenture

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