Trump Media Considers Separating Truth Social After Recent Bitcoin and Crypto ETF Developments

Trump Media Considers Making Truth Social a Separate Public Company

Trump Media and Technology Group (DJT) announced on Friday that it is exploring the possibility of turning Truth Social—its social media platform known for its emphasis on free expression and backed by former President Donald Trump—into an independent publicly traded company.

Under this proposal, Truth Social and other businesses under Trump Media would be reorganized into a new entity called SpinCo, which would then combine with Texas Ventures III. Some assets and operations would remain with Trump Media, but the company did not specify which ones would stay.

Before Trump Media’s planned merger with TAE Technologies—a company focused on fusion energy that is still in the process of merging with Trump Media—shares of the new SpinCo would be distributed to current DJT shareholders.

According to the company, “This potential transaction aims to enhance shareholder value by creating specialized companies, each with its own strategic direction.”

Despite the announcement, DJT’s stock price did not see an immediate boost. Shares fell by about 2.10% today amid a broader market downturn, and the stock has dropped roughly 40% over the past six months, recently trading near $10.73.

Although the company’s statement might imply that its cryptocurrency ventures could remain with Truth Social, there are no clear details yet regarding its future crypto plans. A spokesperson for the company did not respond to Decrypt’s request for comment.

Trump Media’s Recent Crypto Moves

Last year, the company added $2 billion worth of Bitcoin and related securities to its balance sheet in an effort to “protect itself from discrimination from financial institutions.”

In June, Trump Media filed for a Bitcoin ETF and later submitted an application for a crypto blue chip ETF that includes assets such as Ethereum, Solana (SOL), and XRP.

Earlier this year, the company signaled plans to expand its crypto ETF lineup, filing for a joint Truth Social-branded Bitcoin and Ethereum ETF, as well as an ETF focused on the CRO token, which is associated with Crypto.com.

Additionally, Trump Media is collaborating with Crypto.com to develop a digital token intended for distribution to Trump Media shareholders as part of its efforts to integrate cryptocurrency infrastructure into its operations. The deadline for brokers to submit shareholder information passed earlier this month, but the token has not yet been issued.