✔️ Trump Media and Technology Group, the company behind President Donald Trump's Truth Social platform, denied the report that it plans to raise $3 billion through the sale of stocks and convertible bonds to buy bitcoins and other cryptocurrencies.
The Financial Times reported on the company's plan on May 26, citing six people informed about the matter, but Trump Media told the publication that "it is obvious that the Financial Times has dumb writers who listen to even dumber sources."
If Trump Media implements the reported plan, it will allow the company to follow in the footsteps of companies buying cryptocurrency, such as Strategy.
The Financial Times reported that Trump Media plans to issue $2 billion in stocks and $1 billion in convertible bonds, a type of asset that can be converted into stocks later, and that the size of the raise may change.
The shares were expected to be sold at market price at the close on May 23. On that day, Trump Media's shares (#DJT ) closed at $25.72, up 4.6% for the day. The market capitalization of #TRUMP Media as of May 23 was $5.7 billion.
The reported company plan follows an approach similar to that first applied by companies such as Strategy, Metaplanet, Semler Scientific, and others, placing part of their funds in #Bitcoin (#BTC ).
Cryptocurrency bets provide a hedge against inflation and prevent them from becoming "zombie companies," some companies stated.
