In a recent press release, Thumzup Media Corporation, which trades on Nasdaq, announced that it will absorb Dogehash, a large-scale blockchain infrastructure company. This company specializes in mining Scrypt-based assets, such as Dogecoin and Litecoin.
Dogehash currently operates around 2,500 advanced ASIC miners in North America, and more capacity is expected to be added by the end of the year. The merged entity aims to become the world's leading Dogecoin mining platform.
Thumzup's CEO, Robert Steele, stated that the merger would drive its evolution from a digital marketing platform to a fully diversified treasury and digital asset infrastructure business.
"Dogehash brings top-tier mining experience, low-cost renewable energy, and access to cutting-edge Scrypt miners. Our vision is not only to mine Dogecoin and Litecoin efficiently but also to explore utility-oriented use cases that leverage Dogecoin's fast settlement and low fees for daily payments and rewards," explained Steele.
Echoing that sentiment, Parker Scott, CEO of Dogehash, emphasized the long-term advantages of owning and operating a mining fleet directly.
"As general interest in Dogecoin and decentralized technologies continues to expand, we believe we are at the forefront, having already built a utility-scale Dogecoin mining operation," he noted.
The merged company will be called Dogehash Technologies Holdings, Inc. and will trade under the new symbol "XDOG". The agreement involves the issuance of 30.7 million shares of Thumzup to Dogehash shareholders. Subject to shareholder approval, the closing is expected to occur in the fourth quarter of 2025.
This move comes after Thumzup's expansion into digital assets. Through its secondary public offering, Thumzup Media raised $50 million, funds that were allocated to a diversified cryptocurrency treasury and the purchase of mining hardware.
Furthermore, the Thumzup board authorized a plan to grow its cryptocurrency portfolio to $250 million, with allocations to XRP, USDC, DOGE, and other high-liquidity assets.
Following the Dogehash announcement, Trumpzup's shares fell nearly 46%, from $8.28 to $4.60, one of the largest declines since the company's listing.
Experts linked the massive sell-off to execution risks and shareholder dilution. However, since then, the stock has recovered, recently surpassing $5 as confidence stabilized.
Meanwhile, Dogecoin has faced selling pressure in the context of the widespread cryptocurrency crisis. DOGE fell by 1.09% in 24 hours, trading at $0.214, extending a weekly decline of more than 11%.
Analysts attribute the weakness to a general market correction and not necessarily to the announcement. Additionally, $23.2 million in long liquidations were recorded by futures traders for the token. Others warn that sustained losses below $0.21 could trigger another round of massive selling, while some claim that a recovery could occur if DOGE regains the $0.22 mark.
