Trump Media: $400 million stock buyback will not affect Bitcoin accumulation plan

According to Gate News bot, as reported by TapChiBitcoin, the owner of the Truth Social platform, Trump Media and Technology Group (TMTG), claims that its $400 million stock buyback plan will not affect its plan to establish a Bitcoin reserve.

TMTG stated in a statement released on Monday that its board of directors has approved the repurchase of up to $400 million of common stock. The company emphasized that this stock buyback will not change its strategy of building a Bitcoin reserve valued at over $2 billion.

Trump Media initially denied rumors about its plan to raise approximately $3 billion to invest in cryptocurrency. However, the company later confirmed plans to raise $2.5 billion to purchase Bitcoin. According to the latest announcement, Trump Media's Bitcoin investment strategy includes a private placement valued at approximately $2.3 billion.

The U.S. Securities and Exchange Commission (SEC), chaired by Paul Atkins, a nominee of President Trump, approved the Bitcoin trading registration for Trump Media in June. Documents show that the $2.3 billion in funds came from the sale of 56 million shares of stock and 29 million shares linked to convertible notes under debt and equity agreements.

In addition, Trump Media has also applied for a Bitcoin spot ETF, while Truth Social has separately applied for the listing and trading of a dual ETF linked to both Bitcoin and Ethereum. The U.S. Securities and Exchange Commission (SEC) began approving Bitcoin spot ETFs in January 2024 and started approving Ethereum ETFs in May 2024.

President Trump proposed the establishment of a "strategic Bitcoin reserve" and a national "digital asset repository" for storing digital assets seized by the U.S. government in an executive order in March, but Trump's advisors also suggested other ways to expand the reserves.

However, the U.S. Senate Permanent Subcommittee on Investigations accused the president of abusing his power to "profit cryptocurrency companies" through the establishment of a digital asset reserve plan.

On the same day that Trump Media announced this news, California Senator Adam Schiff introduced a bill that would prohibit the President, his family, and other public officials from issuing, sponsoring, or promoting digital assets. If the bill passes, the Bitcoin investment strategy linked to Trump Media and the President's name could be deemed illegal.

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MerchantBaoYevip
· 06-24 01:12
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MerchantBaoYevip
· 06-24 01:12
Hold on tight, we are about to To da moon 🛫
View OriginalReply0
MerchantBaoYevip
· 06-24 01:12
Hold on tight, we are about to To da moon 🛫
View OriginalReply0
MerchantBaoYevip
· 06-24 01:12
Hold on tight, we are about to To da moon 🛫
View OriginalReply0
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