Trump in trouble? The reason for the $165 million Bitcoin sale
Donald Trump's media company is making parallel moves in the crypto market and the financial information sector, attempting to address losses and build a new revenue model around Truth Social.
The media company of US President Donald Trump, Trump Media & Technology Group (TMTG), continues to shift its business strategy with two significant moves that connect the world of cryptocurrency, financial markets, and the social network Truth Social.
According to a report by CryptoJungle, the company recently sold approximately 2,628 bitcoins, valued at an estimated $165 to $205 million. This move comes after TMTG previously adopted a policy of holding bitcoin as part of the company's reserves, but has now chosen to liquidate some assets to increase liquidity and address the decline in the value of its holdings.
Alongside the bitcoin sale, the company is promoting the Truth API service, offering financial entities fast, algorithm-based access to posts by Donald Trump and key accounts on the Truth Social network. The service is primarily intended for hedge funds, banks, and traders on Wall Street, with costs potentially reaching tens of thousands of dollars per month.
These moves reflect an attempt by the company to shift its business model. Instead of relying primarily on advertising revenue and growth in user numbers, TMTG is trying to turn the information generated on its platform into a financial product for business clients.
The move is drawing significant interest due to the unusual combination of politics, crypto, and the capital market. The fact that a company linked to a sitting president holds significant crypto assets while simultaneously offering investors fast access to his messages raises regulatory and ethical questions in Washington.
"Early access to market-moving posts could provide a significant advantage to large financial entities," critics argue.
Conversely, the company is attempting to position the move as part of expanding its business operations and creating a new revenue stream in a world where fast information has become a valuable asset.
