The Trump Media and Technology Group has announced that the United States Securities and Exchange Commission (SEC) has declared effective the company’s registration for its Bitcoin treasury deal.
The approval comes only a few weeks after Trump Media confirmed a $2.3 billion capital raise to buy Bitcoin.
SEC Declares Trump Media Bitcoin Treasury Registration Effective
Trump Media and Technology Group (TMTG), which owns the Truth Social platform and is partially owned by President Trump, has received approval from the United States Securities and Exchange Commission (SEC) for its registration statement regarding its $2.3 billion Bitcoin treasury deal. According to a June 13 SEC filing, the market regulator “declared effective” Trump Media’s S-3 registration statement, filed on June 6. The S-3 form is used by US companies to register for the sale of securities like stocks, options, and different types of debt. Trump Media filed a corresponding prospectus with the SEC on the same day.
An Aggressive Expansion
According to the SEC filing, Trump Media registered the resale of 56 million shares and 20 million more tied to convertible notes as part of debt and equity agreements with around 50 investors, yielding $2.3 billion. The registration statement includes a universal shelf, giving the company greater flexibility for its future growth plans. However, Trump Media does not have any immediate plans to issue any securities under it. Trump Media CEO and President Devin Nunes said the company plans to expand its offerings and capabilities aggressively.
“We’re aggressively implementing our plans to expand the company, our offerings, and our capabilities. By simultaneously enhancing and growing our social media platform, TV streaming platform, and our fintech brand while establishing a Bitcoin treasury, we aim to continue rapidly transforming Trump Media into an indispensable company for the expanding customer base of the Patriot Economy.”
The approval comes weeks after the company confirmed a $2.5 billion capital raise to purchase Bitcoin after strong denials of the raise. Nunes had stated at the time,
“Bitcoin is an apex instrument of financial freedom, and now Trump Media will hold cryptocurrency as a crucial part of our assets.”
Is A Spot Bitcoin ETF In The Works?
Trump Media had also filed with the Securities and Exchange Commission (SEC) to launch a Bitcoin ETF on June 5. The company filed for an initial registration statement on Form S-1 for its Truth Social Bitcoin ETF.
“The assets of the Trust consist primarily of bitcoin held by a custodian on behalf of the Trust. The Trust seeks to reflect generally the performance of the price of Bitcoin.”
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
