Under Charles Schwab’s and Yorkville Advisors’s management, Trump Media establishes Truth.Fi, investing $250 million in Bitcoin, ETFs, and SMAs.
Truth Social’s parent company, Trump Media & Technology Group (TMTG), stated it is entering the financial services industry under the Truth brand.Fi.
The business intends to invest in exchange-traded funds (ETFs), separately managed accounts (SMAs), Bitcoin, and other cryptocurrencies.
Trump Media Reveals the Truth.Fi To Expand Services
The establishment of Truth.Fi, a financial services branch intended to increase its footprint in investment and digital finance, was announced Wednesday by Trump Media & Technology Group (TMTG).
The corporation intends to invest up to $250 million in Bitcoin, ETFs, and independently managed accounts as part of this strategy.
The company claims that Charles Schwab, which will offer advisory services for the investing plan, will hold the funds.
The registered investment adviser will be an affiliate of Yorkville Advisors, emphasizing American manufacturing, energy, and growth firms, as well as investments that promote the “Patriot Economy,” as TMTG refers to it.
Trump’s Crypto Assets & Recent Acquisition of $MOVE Tokens
Blockchain data shows that Trump’s decentralized finance initiative, World Liberty Finance, just paid $940,000 in USDC for 1.2 million MOVE tokens, in addition to TMTG’s investment plans.
The Movement blockchain’s native cryptocurrency, MOVE, attracted notice following rumors of possible cooperation with Elon Musk’s Department of Government Efficiency.
Additionally, according to reports, Trump is one of the most prominent and recognized political personalities with substantial cryptocurrency holdings, with approximately $200 million in Ethereum (ETH) held by him.
Although it’s unclear how much of his assets are directly related to cryptocurrencies, investors and market analysts have taken notice of his growing presence in the space.
Stock Increase & Market Reaction After Announcement
Trump Media & Technology Group shares, traded under the symbol DJT, increased by over 15% in premarket trading after the launch of Truth.Fi. Investor excitement for the company’s foray into digital assets and financial technology is reflected in the stock movement.
Despite raising national security concerns, TMTG’s entry into the cryptocurrency space comes after the introduction of the Trump memecoin. The Trump Organization and its affiliates later saw significant on-paper gains due to this memecoin.
Although the business hasn’t revealed any particular cryptocurrency-related products outside of Bitcoin and ETFs, its growing engagement in decentralized finance raises the possibility of more advancements.
The company’s foray into cryptocurrency has triggered discussions concerning TMTG’s possible impact on digital asset markets. Some cryptocurrency investors speculated about possible insider benefits due to the timing of World Liberty Finance’s purchase of MOVE tokens. Nevertheless, no formal declarations about these transactions have been made.
