- Trump Media’s Bitcoin treasury registration is officially effective.
- The firm raised around $2.3 billion from 50 investors for its Bitcoin treasury.
Trump Media and Technology is moving forward with its Bitcoin treasury plans. As per the latest reports, the US SEC has made the firm’s Bitcoin treasury-related S-3 registration effective from Friday. Following the SEC’s official approval, the firm has filed a final prospectus with the SEC.
For its Bitcoin treasury plans, Trump Media has raised a significant amount of $2.3 billion from various debt and equity agreements with around 50 investors. As per the Registration Statement, the firm raised funds through the sale of 56 million shares of equity and 29 million shares of convertible notes offering.
The Registration Statement, approved by the SEC, has also provided the firm with the flexibility to pursue various types of initiatives, ensuring its growth. Since it has already raised a substantial amount of $2.3 billion, it has no further plans to issue any securities under the shelf registration statement.
Referring to its Bitcoin treasury plans, Trump Media’s CEO and President said,
“By simultaneously enhancing and growing our social media platform, TV streaming platform, and our FinTech brand while establishing a Bitcoin treasury, we aim to continue rapidly transforming Trump Media into an indispensable company for the expanding customer base of the Patriot Economy.”
Trump Media Sets a Precedent For Bitcoin Treasury Plans
Adoption of Bitcoin by one of the major public firms, like Trump Media, will set a precedent for other global firms. This move will only encourage other firms and major corporations to set up a Bitcoin treasury. And it also accelerates the adoption of the crypto industry as a whole.
On the other hand, the US SEC and Congress are working together to establish a clear regulatory framework for cryptocurrencies. Institutional investors are already betting big on top cryptocurrencies like Bitcoin and Ethereum. Over 235 institutional investors are already holding 3.4 million Bitcoins in their Bitcoin Treasury accounts.
Moving forward, Bitcoin’s reputation as a hedge against inflation and a reserve asset will only increase across the globe. Even though the Bitcoin price is currently trading at the $105K price level, a new all-time high is on the horizon, driven by rising adoption.
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