The Securities and Exchange Commission (SEC) illuminated Greenlightlight on a registration statement filed by Trump Media and Technology Group in a $2.3 billion Bitcoin (BTC) Treasury Department contract on June 13. Trump Media, the company behind Truth Social, is a public company. The family of US President Donald Trump is in great control.
The SEC has “declared” Trump Media’s S-3 Registration Statement filed June 6th. Following SEC approval, Trump Media submitted its corresponding final prospectus to its agency on Friday.
According to the filing, Trump Media raised $2.3 billion from around 50 investors through resale of roughly 56 million shares and 29 million convertible debt. Trump Media touted the deal, which was closed on May 30th, as “one of the largest Bitcoin Treasury ministry of public companies.”
Bitcoin Treasury is part of Trump Media’s aggressive expansion strategy
In a press release, President Devin Nunes, CEO of Trump’s media, said he is “actively” expanding with the aim of “turning Trump media into an essential company for the expanding client base of the patriot economy.”
With the establishment of the Bitcoin Treasury, BTC will place BTC on the balance sheet of Trump Media, which is cash and cash equivalent, giving shareholder exposure to BTC. Crypto.com and Anchorage Digital will handle the custody of Trump Media’s Bitcoin Treasury holdings.
Nunes, which announced the deal on May 27, noted that the Bitcoin Treasury will allow the company to “oppose harassment and discrimination by financial institutions.” He also added that “creates synergy between subscription payments, utility tokens, and other planned transactions via streaming social and Truth+.”
The Bitcoin Treasury is just one of the paths Trump Media uses to solidify its location in the Bitcoin market. On June 5, the company filed with the SEC to launch the Bitcoin Exchange Trade Fund (ETF): the Truth Social Bitcoin ETF. Crypto.com will become the exclusive custodian of all BTCs held by ETFs, reflecting the price performance of BTCs.
Don Wilson invested $100 million in Trump Media’s Bitcoin and Treasury Department
According to a report by Financial Times (FT), Don Wilson, founder and CEO of DRW Investments, one of the world’s largest trading companies, has poured $100 million into Trump Media’s Bitcoin Treasury funding round.
According to the report, DRW Investments has purchased more than 3.8 million shares on Trump Media, according to SEC filings. This will make DRW among the biggest investors in Trump Media’s betting on the Bitcoin Treasury.
Investment raises concerns of conflicts of interest with the current US administration, as Cumberland, a crypto liquidity provider managed by Wilson, is clearly benefiting under the second Trump administration. In March, the SEC stopped a lawsuit launched against Cumberland under the guidance of former SEC chairman Gary Gensler. Cumberland claimed it was operated as an unregistered securities dealer by selling crypto assets.