On May 27, 2025, Trump Media and Technology Group (TMTG), the company behind Truth Social, officially confirmed plans to raise $2.5 billion to establish a Bitcoin reserve fund, marking a major advance in its crypto asset strategy in the USA. With the participation of over 50 organizations, this deal not only strengthens the Trump family's position in the crypto industry but also contributes to pushing Bitcoin prices above $110,000, reaching a peak of $112,000 (CoinMarketCap, May 28, 2025). This article summarizes the detailed plan, context, market impact, and lessons for investors.
Details of TMTG's plan
TMTG raised $1.5 billion through stock issuance and $1 billion from debt bonds, with support from major financial institutions. The purchased Bitcoin will be securely stored through the custody services of Crypto.com and Anchorage Digital, ensuring enterprise-level security. Initially, the Financial Times reported #TMTG expecting to raise $3 billion, but the official figure is $2.5 billion, reflecting an ambitious yet more realistic scale.
This plan is inspired by MicroStrategy, a company that has accumulated 252,220 BTC (worth ~27.5 billion USD) with a profit of 58% since 2020 (BitcoinTreasuries.NET). TMTG aims to turn Bitcoin into a strategic reserve asset, similar to President Trump's decree (January 2025) establishing a national Bitcoin reserve. The information was announced ahead of the Bitcoin Conference 2025 (May 27–29, Las Vegas), with participation from Vice President JD Vance, Donald Trump Jr., Eric Trump, and crypto advisor David Sacks, creating a significant draw for the community.
The context and crypto strategy of the Trump family
TMTG is not the only crypto project of the #TRUMP family. Previously, the company announced plans to issue a crypto ETF with Crypto.com, register NFTs and a metaverse platform, while developing utility tokens. World Liberty Financial, advised by Trump, has built a reserve fund for crypto assets and launched the USD1 stablecoin on Binance. Trump's two sons also founded American Bitcoin, a BTC mining company with plans to list shares. The memecoins TRUMP and MELANIA, despite initial success, have recently faced controversy when a holder meet event did not meet expectations, leading to criticism from the opposition.
Under Trump, the US crypto industry was revitalized through SEC reforms, the issuance of regulations for crypto/stablecoins, and encouragement for states like New Hampshire and Arizona to accumulate Bitcoin. Bitcoin spot ETF funds, Metaplanet, Tether, and the Cantor Fitzgerald–SoftBank–Bitfinex alliance also followed the MicroStrategy strategy, contributing to a 259% increase in Bitcoin's price from $42,000 (May 2024) to $112,000.
Impact on the crypto market
TMTG's deal reinforces the trend of organizations accumulating Bitcoin, with 2.4 million $BTC held by companies and ETFs (BitcoinTreasuries.NET). According to Chainalysis (2024), the US has 2.5 million crypto users, with a trading volume of 1.2 billion USD/quarter. TradingShot predicts Bitcoin could reach $150,000 by Q4/2025, thanks to capital flows from TMTG, ETFs, and Trump policies. However, the controversy surrounding the TRUMP/MELANIA memecoins and political involvement may cause short-term volatility (10–15%, Glassnode).
Risks to note
Price volatility: Major events like the Bitcoin Conference can induce FOMO, leading to price corrections.
Political controversy: The opposition criticizes Trump for potentially slowing down crypto legislation.
Custody security: Despite using Crypto.com and Anchorage Digital, hack risks still exist (with $1.2 billion in hack losses in 2024, CertiK).
Business risks: TMTG relies on Truth Social, which has unstable revenue (37 million USD, 2024).
Risk warning
Investing in Bitcoin carries high risks due to price volatility, political controversy, and security vulnerabilities. Trump-related projects may induce FOMO, leading to hasty decisions. Investors need to protect wallets against misconduct such as hacks and conduct thorough research (DYOR). The information in this article is for reference only and should not be considered investment advice.