Freight Technologies Inc., a U.S.-based logistics company focused on cross-border shipping with Mexico, has announced plans to allocate $20 million toward purchasing the TRUMP meme coin.
The company issued a stock offering to fund the move, drawing comparisons to MicroStrategy’s Bitcoin strategy and stirring speculation across financial and political circles.
Company links TRUMP coin buy to tariff concerns
Freight Technologies stated the investment was not centered on cryptocurrency or political motives but on mitigating potential economic risks tied to tariffs. CEO Javier Selgas emphasized the growing trade tension between the U.S. and Mexico, citing it as a key reason for the crypto allocation. The firm highlighted the importance of preserving stable trade routes between the neighboring countries, with Mexico currently the United States’ largest goods trading partner.
The company views the TRUMP token acquisition as part of a broader strategy to support free and fair trade. Though Freight’s press release briefly touched on its interest in AI and Web3 technologies, most of its messaging focused on economic uncertainty due to potential tariff escalation.
TRUMP meme coin faces renewed controversy
The TRUMP meme coin, since its inception, has drawn controversy for its ties to the former president’s financial portfolio. Critics have raised concerns about potential misuse, given reports that a large portion of Trump’s wealth is in crypto assets. Freight’s public association with the token has reignited scrutiny, especially since a significant stake in the coin is held by entities affiliated with the Trump Organization.
The decision also coincides with recent headlines about exclusive perks for TRUMP coin holders. A spike in the token’s price followed a promotion offering top holders a dinner with Trump, signaling how politically aligned incentives can influence market dynamics.
Market reacts as Freight stock declines
Freight Technologies’ announcement had an immediate effect on its stock price, which dropped over 20% after the news spread. Though the company suggested the purchase could diversify its crypto treasury, most of its justification pointed back to trade concerns.
Some analysts speculate the move could be interpreted as an attempt to curry favor with the current administration, particularly if it hopes for tariff relief. While there is no direct appeal in Freight’s statement, previous reports have linked crypto firms’ political donations to favorable treatment.
Through their purchase of meme coins Freight supports expanding business interest in these assets while creating future opportunities for companies to undertake similar strategies.
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