Donald Trump holds an estimated $870 million in Bitcoin through his stake in Trump Media and Technology Group (TMTG), the parent company of Truth Social. This indirect investment places him among the largest known holders of the cryptocurrency, a significant shift from his previous public skepticism.
The position is not held directly by Trump but is part of TMTG's corporate treasury. The company executed a strategic pivot to digital assets this year after raising substantial capital. Trump's ownership in the publicly traded company gives him a proportional claim on its assets, including its recently acquired Bitcoin stockpile.
Key Takeaways
- Donald Trump's indirect Bitcoin holding is valued at an estimated $870 million.
- The investment is held through his 41% stake in Trump Media and Technology Group (TMTG).
- TMTG purchased $2 billion worth of Bitcoin in July after raising $2.3 billion in capital.
- This move represents a complete reversal of Trump's 2019 anti-cryptocurrency statements.
How TMTG Built Its Bitcoin Treasury
Trump Media and Technology Group, which trades on the Nasdaq, initiated a major strategic shift toward cryptocurrency earlier this year. The company, which reported less than $4 million in annual revenue, leveraged its high stock valuation to raise capital for the new venture.
In May, TMTG secured $2.3 billion through a combination of debt and equity financing. The company issued $1 billion in convertible bonds and sold an additional $1.4 billion in stock. Following the capital raise, Trump’s ownership stake in the company was diluted from 52% to 41%.
In July, the company used the proceeds to make a substantial investment in the digital asset market, acquiring $2 billion worth of Bitcoin. This move transformed TMTG's balance sheet, making it one of the largest corporate holders of the cryptocurrency.
TMTG's Financial Maneuvers
Capital Raised: $2.3 billion (May)
Bitcoin Purchased: $2 billion (July)
Trump's Ownership: Diluted from 52% to 41%
Calculating Trump's Indirect Stake
Trump's personal share of the Bitcoin holdings is derived from his 41% ownership of Trump Media. Since the company's purchase, the value of its Bitcoin has increased by approximately 6%, bringing the total value of its crypto assets to an estimated $2.1 billion.
Calculating 41% of this $2.1 billion stockpile results in Trump's indirect stake being valued at approximately $870 million. This figure does not appear on his personal financial disclosures because the asset is held at the corporate level. The investment also introduces significant debt to his portfolio, with his share of the company's liabilities amounting to around $400 million.
Comparison with Other Major Bitcoin Holders
Trump's estimated holding places him in the upper echelon of Bitcoin investors. For context, other notable large holders include:
- Michael Saylor: Holds an estimated $5 billion through his stake in MicroStrategy and another $2.2 billion personally.
- Winklevoss Twins: Potentially hold over $8 billion, assuming they have not sold significant portions of their early investments.
- Tim Draper: His holdings from a 2014 government auction are now worth approximately $3.6 billion.
From Crypto Skeptic to Major Investor
This massive investment marks a complete reversal of Trump's previous stance on cryptocurrencies. During his first term, he was openly critical of digital assets.
"I am not a fan of Bitcoin and other Cryptocurrencies, which are not money, and whose value is highly volatile and based on thin air," he tweeted in 2019. He added that unregulated crypto could "facilitate unlawful behavior."
His approach shifted after leaving the White House. He began with smaller ventures, such as selling non-fungible token (NFT) trading cards featuring his image, which generated several million dollars. As the 2024 election approached, his involvement deepened.
He launched a crypto project, World Liberty Financial, with his sons, and later a memecoin. The value of these assets reportedly increased significantly following his election victory, adding to his net worth before TMTG's large-scale Bitcoin acquisition.
Market Reaction and Ethical Questions
The strategic pivot by Trump Media has raised questions about potential conflicts of interest, especially with Trump back in the White House. The administration has dismissed these concerns.
"Neither the president nor his family have ever engaged, or ever will ever engage, in conflicts of interest," stated Press Secretary Karoline Leavitt. She added that the administration is working to make the United States the "crypto capital of the world" through executive actions and legislative support.
Despite the addition of billions in assets to its balance sheet, TMTG's market capitalization has fallen by $1.2 billion since the company announced its crypto strategy. This suggests that investors may be valuing the company's original social media business less than before the pivot, even with the new Bitcoin holdings.
The future performance of TMTG stock is now closely tied to the price of Bitcoin. A continued rise in the cryptocurrency's value, potentially supported by favorable administration policies, could lead to renewed investor interest in the company, which would further increase the value of Trump's holdings.
