Trump Media Jumps In Crypto, Eyes Bakkt Platform
- Trump Media is in talks with Bakkt.
- Bakkt crypto platform shares rise 162%.
- Trump Media already owns Truth Social.
The crypto industry is increasingly becoming mainstream, with major figures joining it. The company, which President Donald Trump launched, may be working on the biggest high-profile crypto acquisition in recent months.
Recently, Trump Media Technology Group (TMTG), the parent company of Truth Social, is reportedly in talks to acquire a crypto platform. Notably, the company aims to acquire a crypto platform from a major financial institution.
TMTG in Advanced Talks to Acquire Bakkt
On Monday, November 18, reports surfaced that Trump Media Technology Group (TMTG), the parent company of Truth Social, is in discussions to acquire a crypto platform. The platform in question, Bakkt, was launched by the Intercontinental Exchange (ICE), the parent company of the New York Stock Exchange.
Sponsored
The acquisition would integrate crypto into TMTG services, diversifying its revenue streams. Moreover, Trump Media stands to benefit from the growing crypto market, boosting its image as a growth stock. Notably, both TMTG and Bakkt prices rose following the acquisition news.
Following the news, Bakkt rose a whopping 162%, and Trump Media rose 16%. The market movements suggest investors are optimistic about the acquisition and the potential synergies between the two companies.
Trump Media Acquisition to Save Struggling Bakkt?
Founded in 2018, Bakkt offers solutions for crypto investors, including trading and storage. The platform aims to bridge the gap between crypto and traditional finance. Despite its early success, the company’s stock performance was lackluster.
Even accounting for the latest price increase, Bakkt stocks are still down 46.7% yearly. The company also reported an operating loss of $27.4 million in its latest fiscal quarter.
TMTG’s largest asset is Truth Social, a social media platform catering to Trump supporters. Despite its high-profile backer, Truth Social’s reach remains low, with 646,000 daily visits compared with 155 million on Twitter. Despite this, TMTG is showing strong performance, with many considering it a meme stock.
On the Flipside
- Trump Media’s acquisition of a crypto company highlights potential conflicts of interest. With Trump in the White House, he will directly impact crypto legislation, which could benefit his company.
- In September, Trump promoted World Liberty Financial, a crypto company his sons and their business partners launched.
Why This Matters
Trump Media’s entry into the crypto space showcases the growing involvement of the Trump family in this field.
Read more about Trump’s crypto stances:
Trump Wins US Elections: Here Are His Most Daring Crypto Promises
Read more about VanEck on Solana:
VanEck Predicts Wave of Solana ETF Approvals Post-Election
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Trump turns on ‘buddy’ Putin over Ukraine, says he’ll slap Russia with sanctions now
Share link:In this post: Trump warned he may hit Russia with new sanctions after fresh missile attacks on civilians. Trump met with Zelenskyy in Rome and called the meeting productive, but gave no full details. Trump offered a peace deal that includes recognizing Crimea as Russian territory, which Zelenskyy rejected.
Trump’s economic and geopolitical failures took center stage at Pope Francis’ funeral
Share link:In this post: Trump’s economic and diplomatic tensions took over the spotlight at Pope Francis’ funeral. Trump met briefly with Zelenskyy, Macron, and Starmer during the service but made little progress. Trump skipped a second meeting with Zelenskyy and left Rome quickly after the Mass.
Elon Musk and Nobel laureates call for investigation into OpenAI’s nonprofit mission
Share link:In this post: Elon Musk called OpenAI restructuring plan the “scam of the century” after experts oppose it. Legal and AI experts have called on Attorneys General of Delaware and California to OpenAI core mission as a non-profit. Concerns about Open AI deviating from its non-profit origins is not limited to Musk.
Republicans propose shutting down US audit regulator PCAOB
Share link:In this post: Republicans plan to scrap the Public Company Accounting Oversight Board (PCAOB). The agency’s responsibilities could be pushed to the SEC if the lawmakers succeed in shutting it down. Republicans also want to pass a major tax bill that could change the non-profit sector.
Trending news
MoreCrypto prices
More
