Thumzup Media, a company linked to the Trump family, is preparing to acquire Dogehash Technologies in an all-stock deal aimed at creating the world's largest Dogecoin mining platform.
On Tuesday, the Nasdaq-listed company announced that Dogehash shareholders would exchange their entire stake for 30.7 million Thumzup shares. After the transaction is completed, the merged company will be renamed Dogehash Technologies Holdings and will trade under the new ticker symbol XDOG.
The transaction is expected to be completed in Q4, pending shareholder approval and regulatory approval.
Dogehash Operates 2,500 Scrypt Miners Across North America
Dogehash operates approximately 2,500 Scrypt ASIC miners across North America, focusing on the production of Dogecoin and Litecoin. The company plans to expand its mining fleet by the end of the year, aiming for significant output growth by 2026. The company's operations are centered at a renewable energy data center, with satellite stations being added to scale production.
By collaborating, Thumzup and Dogehash aim to leverage Dogecoin's Layer 2 infrastructure through DeFi staking products integrated into the DogeOS ecosystem.
The management stated that this will improve mining economic efficiency and yield higher profits compared to standard block rewards. Performance metrics will be announced after the merger process is completed.
Dogecoin, one of the most actively traded cryptocurrencies, is highly valued due to its fast block processing times and low transaction fees. Dogecoin has an inflationary but predictable supply, akin to fiat currency issuance, making it a key currency for high-throughput transactions and payments. This asset consistently records millions of trading volumes daily and remains one of the top cryptocurrencies by market capitalization.
The Thumzup Acquisition Occurs After a $50 Million Funding Round
Thumzup's CEO, Robert Steele, stated that this deal will accelerate the company's transformation from a marketing platform into a diversified digital asset infrastructure provider.
Meanwhile, Parker Scott, the head of Dogehash, stated that the company has invested in infrastructure rather than speculative trading. "Unlike many companies that only use cash to buy cryptocurrency, we have invested in mining infrastructure. By owning and operating our own fleet of ASICs, we generate direct revenue from production activities, creating a continuous and sustainable source of Dogecoin," he said.
Furthermore, this acquisition comes after Thumzup raised $50 million in July. This money is earmarked for expanding the cryptocurrency strategy and acquiring additional mining rigs. Additionally, the board has approved holding digital assets of up to $250 million. These assets include Bitcoin, Dogecoin, Litecoin, Solana, XRP, Ether, and USDC.
Thumzup began its cryptocurrency journey in January by purchasing Bitcoin and currently holds 19.1 BTC. The shift to mining marks a new chapter for the Los Angeles-based company, which until recently was known for its digital marketing platform rewarding users for promoting brands on social media.
The company gained more prominence in July when Donald Trump Jr., son of the U.S. president, purchased 350,000 shares worth nearly $3.3 million at that time, according to legal filings. This acquisition has positioned the Trump family as significant supporters of Thumzup's growing ambitions in the digital asset space.
