Trump Media Stock Plummets, Erasing $5B in Family Wealth

BREAKING: Trump Media & Technology Group’s stock has crashed to an all-time low, erasing over $5 billion in wealth for the Trump family. As cryptocurrencies continue their downward spiral, shares of the company, trading under the ticker DJT, have plunged nearly 70% this year, with 34.6% of that decline occurring just in the past month.

In early morning trading on Wednesday, the stock was down about 1%, valued at $10.76, following an intraday low of $10.32 — marking the lowest point since fall 2021. This staggering loss is a direct consequence of a broader meltdown in the crypto market, with Bitcoin prices briefly dipping below $90,000 for the first time in months.

President Donald Trump indirectly owns approximately 115 million shares of Trump Media, held in a trust managed by his son, Don Jr., who serves on the board. The family’s stakes, once valued at nearly $6.5 billion in mid-May 2024, have now suffered a loss exceeding $5.3 billion, according to reports from Barron’s.

The decline stems from diminishing investor confidence, particularly after Trump Media announced in August that it acquired $2 billion worth of Bitcoin. Traders are retreating from risky investments amid waning expectations for an interest rate cut next month.

Trump Media has not yet responded to requests for comment regarding the stock’s performance. The company was established in the wake of Trump’s bans from major social media platforms following the January 6, 2021, Capitol riot. Following the announcement of a merger with Digital World Acquisition Corp. in 2021, the stock soared to around $100 in 2022, but has since crumbled.

Despite the sharp decline in Trump Media’s shares, the Trump family’s personal crypto ventures reportedly continue to thrive, generating hundreds of millions in revenue. A Reuters report last month revealed that the Trump Organization has earned over $800 million from digital asset sales in the first half of this year alone.

Since taking office, Trump has positioned the U.S. as a potential leader in the cryptocurrency sector. He signed the GENIUS Act over the summer, which aims to establish consumer protections and enhance confidence in digital currencies. Additionally, he has directed the Treasury Department not to sell tokens seized in enforcement actions, exploring ways for the U.S. to acquire more crypto assets.

The White House has denied any conflict of interest concerning the Trump family’s involvement in cryptocurrency. Press Secretary Karoline Leavitt stated,

“Neither the President nor his family have ever engaged, or will ever engage, in conflicts of interest.”

This rapid decline in Trump Media’s stock raises urgent questions about the future of the family’s financial interests and the viability of their crypto investments. Investors and analysts will be closely watching the next moves from Trump Media amid this ongoing crisis.