What in the World is Going On With Truth Social and Trump Media?

In 2025, the stock price of Trump Media & Technology Group - the publicly-traded corporation where President Donald Trump is the majority shareholder - is down nearly 50%. That’s a bit perplexing, considering that this is exactly the type of social media company that should be performing very well right now. 

After President Trump’s historic election win last year, new users should be flocking to his social media platform, followed soon thereafter by advertisers. However, that’s not the case at all. Trump Media & Technology Group posted a net loss of $400 million last year, on revenue of just $3.6 million. Quite simply, the company can’t seem to line up any advertisers.

So it could be time for a reset. Trump Media & Technology Group is now making some unconventional moves. Instead of attempting to boost the fortunes of the Truth Social social media platform, it’s now looking elsewhere for answers.

Strange business moves, or brilliant strategy?

This is where things get interesting, if not downright bizarre. The company recently raised $2.5 billion from outside investors. But it wasn’t to expand the Truth Social social media empire. Instead, the money will be used to buy Bitcoin. That’s right - Trump Media & Technology Group seems to be throwing in the towel on social media, and is now diving head-first into crypto. 

As a first step, the company is planning to accumulate Bitcoin as a so-called “Bitcoin Treasury Company.” It’s also planning to offer “Truth Fi” financial services for crypto investors. The unstated goal here appears to be to convert non-paying Truth Social users into paying “Truth Fi” users. 

There’s apparently even a plan to start offering exchange-traded funds (ETFs) for different cryptocurrencies via Trump Media. That’s something that investment management companies like Vanguard and BlackRock do, not social media companies! 

These moves come, of course, as the Trump administration has relentlessly been trying to juice the crypto markets, and especially the price of Bitcoin. This might be oversimplifying things, but the strategy seems to be the following: stop going after social media advertisers, start buying Bitcoin, and do everything possible to pump up the value of Trump Media stock using Bitcoin.

Will the new strategy work?

Something about this strategy just doesn’t add up. Most glaringly, there are so many potential conflicts of interest here. Maybe the lawyers have figured out a clever way to keep everything on the up-and-up. That’s what long-time Trump followers and supporters hope. But what if it’s all just a giant grift, like the Trump meme coin that launched in January?

This is not investment advice by any means, but please be careful if you’re planning to buy Trump Media stock. Maybe the decision to buy Bitcoin and transform a media company into a crypto company will turn out to be a brilliant strategy. But right now, it seems to be a very risky pivot. 

Just a few years ago, Trump called Bitcoin “a scam. Now he’s counting on it to save his social media company.